1. What is the shape of CAL if your borrowing rate and lending rates are not the same

A) A straight line B) A curve C) A kinked line with the kink at the point with 100% in risky security D) A combination of two straight lines and one curve

The dollar weighted return is the same as the __________.

A) difference between cash inflows and cash outflows B) arithmetic average return C) geometric average return D) internal rate of return