Corporate Finance Risk and return problem Spreadsheet problem based on chapters 10-11 (Risk-Return) You are managing the Duemani Investment fund, a fund which invests only in two mutual funds: Fund Domo (D) and Fund Estero (E). Fund D (Domo) has an expected rate of return of 12% and a standard deviation of returns of 20%. Fund E (Estero) has an expected rate of return of 4% and a standard deviation of returns of 9%. a) Calculate the attainable set of portfolios by calculating risk and expected return of the Duemani Investment Fund based on the following weights for D and E: Correlation: r(D,E) = +1 Show the numerical results in an excel-chart (risk and return numbers in %, 2 decimal places). The preferred type of diagram for this problem is a so-called ?XY (scatter)-chart with data points connected by smoothed lines?. b) Same as a), but correlation r(D,E) = + 0.75 c) Same as a), but correlation r(D,E) = + 0.5 d) Same as a), but correlation r(D,E) = + 0.25 e) Same as a), but correlation r(D,E) = 0 f) Same as a), but correlation r(D,E) = - 0.25 g) Same as a), but correlation r(D,E) = - 0.5 h) Same as a), but correlation r(D,E) = - 0.75 i) Same as a), but correlation r(D,E) = - 1 j) Additional problem, if correlation r(D,E) = -1: Use the ?goal seek?-function in excel to find the % to be invested in D and E so that the portfolio standard deviation = 0. What will the expected portfolio return be in this case? Show the weights for D and E in %, 2 decimal places. Minimum requirements: - Show the 9 different attainable sets of risk/return combinations [i.e. a) ? i) ], and the results for j), including all the required numbers and the corresponding chart. Project assignment: - Create a one-page spreadsheet solution that includes all the required parameters