Name what is the EAR if the APR is 10% with weekly B. C. D. 6, 10.38% 10.4 7% 10.51% 11.88% HPR 7Suppose your expectations rega regarding t Probabilit. State of the Economy 4-4% 0.3 Boom Normal growth Recession 14% What is the standard deviation of the HPR? A. 5.40% B. 9.00% C. 14.00% D. 23.24% Ifyo urequirean8% the rate of inflation overthe next year to be 3%, what is the lowest no would be satisfied with? real growth in the purchasing power from your investment, and you expect minal return that you 8. A. 11.24% B. 11.00% C. 5.00% D. 4.85% s oassets have the following expected returns and standard deviations when the risk-free rate 3, which asset (DJT 5%.If you have a client for whom you estimated her risk aversion A or HRC) would you recommend to her for investment? Why? Asset DIT | E(Rorr) = 10% | SDD -20% Asset HRC | E(RlIRC)-15% | SDHRCE 27% A. Asset DJT, because its volatility is lower and the return and risk combination fits her. B. Asset HRC, because its expected return is higher. C. Either DJT or HRC, because the two assets are consistent with each other and each has its own advantages. D. Neither, because neither risk return combination fits the investor's risk aversion. 10. A security's beta coefficient will be positive if A. its returns are negatively correlated with market-index returns. B. its returns are positively correlated with market-index returns. C. its stock price has historically been very stable D. market demand for the firm's shares is very low