Cara Lott is $26$ years old and is saving for retirement. Which one of the following mutual

fund portfolios would best suit her situation if she is willing to accept a moderately high

amount of risk in exchange for long$-$term capital appreciation? She needs no current income

from her investments.

$25\%$ stock mutual funds, $60\%$ bond mutual funds, $15\%$ money market mutual funds

$20\%$ stock mutual funds, $60\%$ bond mutual funds, $20\%$ money market mutual funds

$85\%$ stock mutual funds, $15\%$ bond mutual funds

$35\%$ stock mutual funds, $65\%$ bond mutual funds