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7-Suppose that the initial investment budget is $300,000 but the investor borrows additional funds for $120,000 from a risk-free rate of 5% in order to

image text in transcribed 7-Suppose that the initial investment budget is $300,000 but the investor borrows additional funds for $120,000 from a risk-free rate of 5% in order to invest the total amount in a risky asset. The risky asset provides an expected return of 12% per year with 82% probability. What would be the expected return and the risk of the portfolio? 14,80%, 27,00% 14,80%, 25,20% 15,30%, 26,50% 14,40%, 27,00% Dierimage text in transcribed

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