Assume that you can borrow and lend at a riskless rate of 3.6%. If you invest...

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Assume that you can borrow and lend at a riskless rate of 3.6%. If you invest 60% un 30 IWM and 40% in the risk free asset. The mean of your portfolio is A 2.16% B 1.44% C 1.80% D None of the above 31 The standard deviation of the portfolio in Question 30 is A 7.56% B 11.72% C 11.34% D None of the above if you have $10000, you borrow $5000 at the risk free rate of 3.6% from your broker, 32 and you invest $15000 in IWM. The mean of your portfolio A $975.76 B $1,283.65 C $1,210.71 D None of the above. 33 The standard deviation of the portfolio in Question 32 is A $1,889.92 B $2,834.88 C $4,394.65 D None of the above If you were forced to choose between the portfolio in Question 32 and investing 34 $10000 EEM, A You will prefer EEM regardless of your risk aversion B you will prefer EEM if you are risk nuetral C You will prefer the portfolio in Question 32 regardless of your risk aversion D You will prefer the portfolio in Question 32 if you are risk nuetral E C and D Assume that you can borrow and lend at a riskless rate of 3.6%. If you invest 60% un 30 IWM and 40% in the risk free asset. The mean of your portfolio is A 2.16% B 1.44% C 1.80% D None of the above 31 The standard deviation of the portfolio in Question 30 is A 7.56% B 11.72% C 11.34% D None of the above if you have $10000, you borrow $5000 at the risk free rate of 3.6% from your broker, 32 and you invest $15000 in IWM. The mean of your portfolio A $975.76 B $1,283.65 C $1,210.71 D None of the above. 33 The standard deviation of the portfolio in Question 32 is A $1,889.92 B $2,834.88 C $4,394.65 D None of the above If you were forced to choose between the portfolio in Question 32 and investing 34 $10000 EEM, A You will prefer EEM regardless of your risk aversion B you will prefer EEM if you are risk nuetral C You will prefer the portfolio in Question 32 regardless of your risk aversion D You will prefer the portfolio in Question 32 if you are risk nuetral E C and D

Answer rating: 100% (QA)

To calculate the mean and standard deviation of the portfolio we need to use the weights of the assets their respective means standard deviations and ... View the full answer