Exercise 1 Mrs. Jones has $90800 and wants to take the following positions in these three stocks Stock Price Number of shares Position S1 248 1200 short S2 120 2600 long S3 54 600 long 1) How much cash will she have after building her portfolio? (5 pts) (A) 25100 (B) 44000 [C) 69500 (D) 99500 2) Calculate the rate of return of this portfolio if one year later the prices are Stock S1 S2 S3 Price 252 117 55 and the risk-free rate is 4.29%. (10 pts) (A) -10.27% (B) -11.14% [C) -10.97 % (D) -10.61%