TUNKU ABDUL RAHMAN UNIVERSITY COLLEGEFACULTY OF ACCOUNTING, FINANCE AND BUSINESSSamson, the financial manager for A2A Corporation, wishes to evaluate three prospectiveinvestments: X, Y, and Z. Currently, the firm earns 12% on its investments, which have a riskindex of 6%. The expected return and expected risk of the investments are as follows:InvestmentExpected ReturnExpected RiskX14%7%Y12%8%Z10%9%If Samson were risk-indifferent, which investments would he select? Explain why.If he were risk-averse, which investments would he select? Why?If he were risk-seeking, which investments would he select? Why?Given the traditional risk preference behavior exhibited by financial managers, which investment would be preferred? Why?