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Intro You have $60,000 to invest. You've done some security analysis and generated the following data for two stocks and Treasury bills: Security Stock A

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Intro You have $60,000 to invest. You've done some security analysis and generated the following data for two stocks and Treasury bills: Security Stock A Stock B T-bills Expected return (%) 12 7 2 Variance 0.04 0.0121 Correlation with stock A 1 0.2 0 0 Part 1 Attempt 2/5 for 9.8 pts. What is the weight of stock A in the optimal risky portfolio (ORP)? 3+ decimals Submit Attempt 1/5 for 10 pts. Part 2 If you invest 70% of your funds in T-Bills, what is the expected return of this complete portfolio? 4+ decimals Submit Part 3 Attempt 1/5 for 10 pts. What is the standard deviation of the optimal risky portfolio? 3+ decimals Submit Attempt 1/5 for 10 pts. Part 4 What is the Sharpe ratio of your complete portfolio? 2+ decimals Submit Part 5 Attempt 1/5 for 10 pts How much money do you have to invest in stock 8 to achieve this Sharpe ratio (in $)? 0+ decimals Submit

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