Mary is the Chief Financial Officer for Beauty's Anonymous, a hypothetical private health care company that specializes in young adult beauty products and over the counter drugs. Triple A rated Johnny Company (JL) is purchasing the company for $500mm. Mary, who has been with the company since inception, owns 10% of the company and will be receiving $50mm. The deal consists of $15mm in JL stock (zero cost basis), $5mm in JL 10 year bonds, (coupon of 3%, priced at par, 3% YTM) and $30mm cash.Mary has worked 24/7 and knows very little about managing portfolios and needs your advice. Mary is 62 years old, wants to retire and travel the world with her family. Before developing a plan she sends you the following information:Mary wants toestablish a legacy foundation funded with $10mm, utilizing the JL bonds, to support causes dear toherheart. The foundation must pay out 5% of market value every year. Mary wants to set up a $5mm trust for her twenty year old daughter. The daughter willnotbeabletotouchtheprincipalfor20yearsandwillreceivethemoneywhenshe turns40.Marywantstodeviseastrategyfortheremainderoftheassets($35mm)thatgeneratesaminimum $1mmreturntosupportherannualincomeneeds.Shebelievesthe10yearTreasurybondwillbeata5%yield to maturity in 3 years and believes inflation will accelerate to 4%/yr. She has a long-term time horizon and expectstoliveforanother30years.Sheincludedinformation(seeExhibit1)withdifferentassetclasseswith her view of their long-term rates of return and volatilityprofile. She wants to be very tax efficient