b) They have JPY 1,000,000 to invest in a Japanese stock portfolio market. Their choices are Stock Hiragana with an expected return of 20 percent and Stock Katakana with an expected return of 12 percent. Their goal is to create a portfolio with an expected return of 14 percent. Calculate how much money shall they invest in each Hiragana and Katakana stock! (3 points)

c) There were two commentators about the efficient market hypothesis (EMH) as follows: i) Throwing darts at the financial page will produce a portfolio that can be expected to do as well as any managed by professional security analysts ii) The market cannot be efficient because stock prices fluctuate from day to day Explain the main issue(s) in those comments regarding the EMH! (4 points)