Question: Suppose you have Rs.300 to invest in a portfolio of two assets. Return on asset 1 is 10% and return on asset 2 is 20%

Suppose you have Rs.300 to invest in a portfolio of two assets.
Return on asset 1 is 10% and return on asset 2 is 20%
Risk on portfolio of 1 and 2 is zero.

A) price of both assets=Rs.100
B)price of asset 1=Rs.100 and asset 2=Rs.200
1.Draw the OC in risk return space.
2.Mention equilibrium point for different type of investors and comment on your findings.
3.For both a and b parts calculate the return earned on portfolio.

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