a) Graphically demonstrate the Fisher separation theorem for the case where an individual ends up borrowing in the financial markets. Label the following points on the graph: initial wealth W optimal production/investment (P0,P1); optimal consumption (C0,C1); present value of final wealth, W0: : b) Show graphically what is the impact of an exogenous rise in the market interest rate on (i) the wealth (ii) production levels and (iii) the utility of the individual as in part a. Is he always better off? c) question 5.5 from textbook (securities, payoffs, price, risk free rate) and another security and find same things d) what is market completeness. Were given a security and payoff chart (with 2 securities) and asked if the market was complete, and again given 3 securities and asked if now the market was complete. e) You bought a regular house which current value is 500,000 . If the value of the house grows according to the formula where is a time variable equal to zero now and V=500,00021t+1]2 to one a year later. Assume that the interest rate is 4% per year with monthly compounding