explain why you choose the answer.

not excel

not intermediate calculations

final interest rate 6 places

6. Assume that the CAPM is true, Rp = 5%, Ry = 15% and am = 0.1. An investor with $10,000 to invest builds a portfolio, Q. of T-bills and the market portfolio. This means that a) it would be possible for the investor to obtain a return of 17% on portfolio Q. b) if portfolio Q were composed of short-selling $2,000 in T-bills and the remainder is the market portfolio, then Pom = 1, BQ = 1.2 and ag = 0.12. c) to obtain a return of 17% from portfolio Q the investor would need to invest $ 12,000 in the market portfolio d) all of the above are true c) only a) and b) above are true