1a. suppose that you borrow $300 at the risk free rate and invest this $300 together with $1000 of your own wealth in a risky portfolio. what is your complete portfolio's weight in the risk free asset?

a. 130%

b.-30%

c. 100%

d.-20%

1b. Investors can form complete portfolios out of two assets; a risk free asset (t-bill) with a rate of return of 5% and a risky portfolio with an expected return of 15% and return standard deviation of 30%. Answer the following questions:

a. draw the allocation line

b. the coefficents of risk aversion of sara and james are 1 and 5 respectively. compute each investor's optimal allocation to the risky portfolio.

c.interpret the rresults you get from part b.

d. compute the expected return and standard deviation of return of the optimal complete portfolios for sara and james (found in part b) respectively.

e. indicate sara's and james's optimal portfolios on the capital allocation line.

please show all work, thanks in advance