A moderately risk-averse investor has 50% of her portfolio invested in stocks and 50% in risk-free Treasury

Question:

A moderately risk-averse investor has 50% of her invested in and 50% in risk-free Treasury bills. Show how each of the following events will affect the investor’s budget line and the proportion of in her The standard deviation of the return on the stock market increases, but the on the stock market remains the same.
b) The on the stock market increases, but the standard deviation of the stock market remains the same.
c) The return on risk-free Treasury bills increases.
Stocks
Stocks or shares are generally equity instruments that provide the largest source of raising funds in any public or private listed company's. The instruments are issued on a stock exchange from where a large number of general public who are willing... Expected Return
The expected return is the profit or loss an investor anticipates on an investment that has known or anticipated rates of return (RoR). It is calculated by multiplying potential outcomes by the chances of them occurring and then totaling these... Portfolio
A portfolio is a grouping of financial assets such as stocks, bonds, commodities, currencies and cash equivalents, as well as their fund counterparts, including mutual, exchange-traded and closed funds. A portfolio can also consist of non-publicly...