【正文】 73.The optimal proportion of the risky asset in the plete portfolio is given by the equation y* = [E(rP) rf]/(.01A times the variance of P). For each of the variables on the right side of the equation, discuss the impact of the variable39。s attitude toward speculation and risk and how the utility function reflects this attitude.Cannot be determinedCannot be determinedCannot be determinedCannot be determinedCannot be determinedNone of the options。53.The capital market lineI) is a special case of the capital allocation line.II) represents the opportunity set of a passive investment strategy.III) has the onemonth TBill rate as its intercept.IV) uses a broad index of mon stocks as its risky portfolio.s plete portfolio?%E.the investor39。investors will hold varying amounts of the riskfree asset in their portfolios.D.borrowing rate exceeding lending rate.C. $568E. $240D. C. B.36.Consider a Tbill with a rate of return of 5% and the following risky securities:Security A: E(r) = 。34.You invest $100 in a risky asset with an expected rate of return of and a standard deviation of and a Tbill with a rate of return of .A portfolio that has an expected oute of $115 is formed by32.You invest $100 in a risky asset with an expected rate of return of and a standard deviation of and a Tbill with a rate of return of .What percentages of your money must be invested in the risky asset and the riskfree asset, respectively, to form a portfolio with an expected return of ? D. B.A.A.will decrease as the standard deviation decreases.C.is a risky investment with a zero risk premium.C.A.3D. Variance = E.12%。8.When an investment advisor attempts to determine an investor39。s own indifference curves might intersect.II) Indifference curves have negative slopes.III) In a set of indifference curves, the highest offers the greatest utility.IV) Indifference curves of two investors might intersect.A.A.A.s tendency to make risky or conservative choicesD.E(r) = 。E(r) = 。15.s return requirement.B.should be considered in the context of the effect on overall portfolio volatility.C.the standard deviation of the payoff is larger than its expected value.D.the minimum rate guaranteed by institutions such as banks.D.s indifference curves will have flatter slopes than Edie39。A.maximizes her expected profit.B. E. B.The set of portfolios formed with the Tbill and security C.D. $378。analyzing returns on variable rate bonds.D.estimating security betas.D.the decision as to the allocation between a riskfree asset and a risky asset and considerable security analysis.their shortterm nature makes their values insensitive to interest rate fluctuations and the inflation uncertainty over their time to maturity is negligible.E.What is the standard deviation of Bo39。E(rC) = + Standard Deviation of CC.s expected return and standard deviation are __________ and __________, respectively. B.57.You invest $100 in a risky asset with an expected rate of return of and a standard deviation of and a Tbill with a rate of return of .What percentages of your money must be invested in the riskfree asset and the risky asset, respectively, to form a portfolio with a standard deviation of ?59.You invest $1,000 in a risky asset with an expected rate of return of and a standard deviation of and a Tbill with a rate of return of .What percentages of your money must be invested in the risky asset and the riskfree asset, respectively, to form a portfolio with an expected return of ?61.You invest $1,000 in a risky asset with an expected rate of return of and a standard deviation of and a Tbill with a rate of return of .The slope of the capital allocation line formed with the risky asset and the riskfree asset is equal to63.You invest $100 in a risky asset with an expected rate of return of and a standard deviation of and a Tbill with a rate of return of .What percentages of your money must be invested in the riskfree asset and the risky asset, respectively, to form a portfolio with a standard deviation of ?65.You invest $100 in a risky asset with an expected rate of return of and a standard deviation of and a Tbill with a rate of return of .The slope of the capital allocation line formed with the risky asset and the riskfree asset is equal to67.In the utility function: U = E(r) [], what is the significance of A?s fund and would be deducted at the end of the year.)e. How would it affect the graph if the broker were to charge the full amount of the fee?They only accept risky inve。74.You are evaluating two investment alternatives. One is a passive market portfolio with an expected return of 10% and a standard deviation of 16%. The other is a fund that is actively managed by your broker. This fund has an expected return of 15% and a standard deviation of 20%. The riskfree rate is currently 7%. Answer the questions below based on this information.a. What is the slope of the capital market line?b. What is the slope of the capital allocation line offered by your broker39。 Eddie, who is a riskneutral investor。investing $43 in the risky asset and $57 in the riskfree asset.E.% and %E.40% and 60%E..E.57% and 43%E.A.I, II, III, and IV20%, %, %A.49.Your client, Bo Regard, holds a plete portfolio that consists of a portfolio of risky assets (P) and TBills. The information below refers to these assets.their term to maturity is identical to most investors39。considerable security analysis.D.assessing