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Consider historical data showing that the average annual rate of return on the S&P 500 portfolio over the past 85 years has averaged vroughly 8%

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Consider historical data showing that the average annual rate of return on the S&P 500 portfolio over the past 85 years has averaged vroughly 8% more than the Treasury bill return and that the S&P 500 standard deviation has been about 22% per year. Assume these values are representative of investors' expectations for future performance and that the current T-bill rate is 3% Calculate the utility levels of each portfolio for an investor with A-3. Assume the utility function is U=E0-0.5 Ao? (Negative amounts should be indicated by a minus sign. Do not round intermediate calculations, Round your answers to 4 decimal places.) VIA - 3) WBills 0.0 0.2 0.4 Windex 1.0 0,8 0.6 0.4 0.2 0.0 0.6 0.8 1.0

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