10 Your coefficient of risk aversion is 3. You invest $1,000 in your optimal complete portfolio. The optimal complete portfolio is composed of the optimal risky portfolio and the T-bills. The optimal risky portfolio has an expected rate of return of 16% and a standard deviation of 20% and the Treasury bills have a rate of return of 6%. Which of the following statements is (are) true? Statement 1: The optimal complete portfolio has higher return-to-variability ratio than any other portfolio that is not the optimal complete portfolio. Statement 2: There are many portfolios that have a return-to-variability ratio as high as the optimal complete portfolio. Statement 3: The optimal complete portfolio is on a higher indifference curve than any other portfolio that is not the optimal complete portfolio. Statement 4: The optimal complete portfolio has higher expected return than the optimal risky portfolio. Your choice: 10/12 QS Statements 1 and 4 Statement 4 Statement 1 Statement 2 Statement 3 Statements 2 and 3