Assume the universe of available securities consists of two risky assets: E and D. The expected return for E is 10% and 30% for D. The variance for returns for E is 400(%^2) and for D is 3600(%^2). The covariance between E and D returns is -0.05. T-bills give a return of 5% with a standard deviation of 0%. The investor has a risk aversion index, A=5.0. Show all work.

1. Obtain the optimal risky portfolio, P (expected return and standard deviation). 2. Obtain the slope of the capital allocation line (CAL).