risk (A) u#(A,w) = She believes she the relationship between wealth and risk can be explained by the followingfeasible frontier (also called a risk-return schedule): w(A) = –2+ 6A – (A)² Choose the statements that are true among the following. a. Huong's marginal rate of substitution is mrs(A ,w) = –2A. b. Huong's marginal rate of substitution is mrs(A w) = 2A. c. Huong's constrained utility maximizing bundle of risk and wealth is (A= 2,w = 6). d. For Huong, risk is a good and wealth is a bad. e. Huong's constrained utility maximizing bundle of risk and wealth is321,W =4%3D f. For Huong, wealth is a good and risk is a bad. g. Huong's marginal rate of substitution is mrs(A,w) = -A. h. Huong's marginal rate of substitution is mrs(A, w) = A.
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