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Consider historical data showing that the average annual rate of return on the 5&P500 portfolio over the past 85 years has averaged roughly 8% more

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Consider historical data showing that the average annual rate of return on the 5&P500 portfolio over the past 85 years has averaged roughly 8% more than the Treasury bili retuin and that the 5&P00 standard deviation has been about 21% per year Assume these volues are reptesentative of investors' expectations for future performance and that the current T-bill tate is 4%. Calculate the utility levels of each portiolio for an investor with A=2. Assume the utalty function is v=(r)=0.5A02. (Do not round intermediote calculations. Round your answers to 4 decimal ploces. Negative amounts should be indicated by o minus sign.)

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