Question: Security X has expected return of 9% and standard deviation of 8%. Security Y has expected return of 14% and standard deviation of 12%. The

Security X has expected return of 9% and standard deviation of 8%. Security Y has expected return of 14% and standard deviation of 12%. The two securities have a correlation coefficient of -1.0 (perfectly negatively correlated). The risk-free portfolio that can be formed with the two securities will earn a rate of return of Select one: a. 11.0% b. 12.0% c. 10.0% d. 13.0% e. None of the options are correct

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