Dan sells short 400 shares of CRF, now selling for $30 per share. If Dan wants to limit the loss to $1,800, he should place a stop-buy order at ____. A.$25.50 B.$34.50 C.$36.25 D.$29.75 If Steve is promised a return of 12% on a 1-year investment, and he expects the rate of inflation to be 6%, what real rate does he expects to earn? A.7.94% B.4.05% C.6.30% D.5.66% An insurance stock has an expected return of 12% and a standard deviation of 24%. A telecommunication stock has an expected return of 20% and a standard deviation of 30%. An equally weighted portfolio of the two stocks will have a standard deviation A.equal to the average of 24% and 30%. B.greater than the average of 24% and 30%. C.less than the average of 24% and 30%. D.None of the above. Which one of the following is the best investment strategy according to proponents of the efficient market hypothesis? A.having a fund manager who actively trades your portfolio. B.investing based on technical analysis. C.buying only securities that have performed well in the recent past. D.investing in an index fund. Which of the following is not a money market instrument? A.Certificate of deposit B.Stock option C.Commercial paper D.Repurchase agreement