1. You are evaluating two investment alternatives. One is a passive market portfolio with an expected return of 10% and a standard deviation of 16%. The other is a fund that is actively managed by your broker. This fund has an expected return of 15% and a standard deviation of 20%. The risk-free rate is currently 7%. (a) what are the slopes of CAL and CML? (b) plot CAL and CML on the same graph. (c) what is the maximum fee that your broker could charge and still leave you as well off as if you had invested in the passive market fund? (Assume that the fee would be a percentage of the investment in the broker's fund, and would be deducted at the end of the year). (d) if your broker were to charge you this maximum fee, how would that change the graph?