It can be answered in Excel or any other software package, as long as I can see and understand how it is solved.

Consider three assets with: Ti = 9% 12 = 12% F3 = 14% oi=0.10 oz = 0.20o = 0.25 and Jij = 0 for all i, j = 1;2;3, with i tj. 2.1 Formulate the Markowitz problem to find the weights for the minimum-variance portfolio. Suppose the expected return for the portfolio is and short selling is allowed. 2.2 Derive the Lagrange equations to find the weights for the minimum-variance portfolio (MVP). Write the system of equations in matrix form. 2.3 Determine the weights of the MVP with r = 13%. You may use a computer package to solve the system of equations. 2.4 Determine the expected rate of return and standard deviation of the rates of return of the MVP. Consider three assets with: Ti = 9% 12 = 12% F3 = 14% oi=0.10 oz = 0.20o = 0.25 and Jij = 0 for all i, j = 1;2;3, with i tj. 2.1 Formulate the Markowitz problem to find the weights for the minimum-variance portfolio. Suppose the expected return for the portfolio is and short selling is allowed. 2.2 Derive the Lagrange equations to find the weights for the minimum-variance portfolio (MVP). Write the system of equations in matrix form. 2.3 Determine the weights of the MVP with r = 13%. You may use a computer package to solve the system of equations. 2.4 Determine the expected rate of return and standard deviation of the rates of return of the MVP