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needs to be done on excel (c) Based on your findings, find the expected return and standard deviation of the overall portfolio. 3. You are

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needs to be done on excel

(c) Based on your findings, find the expected return and standard deviation of the overall portfolio. 3. You are considering investing in a hot internet company by putting down $20,000,000 today and $10,000,000 ten years from today. Analysts predict that your earnings will grow at 30% per year for the next five years. After that, as competition in- creases, your earnings growth is expected to slow to 2% per year and continue at that level forever. Your company has just announced your earnings to be $1,000,000. If the interest rate is 8%, (a) would you invest in the company? (b) What is the maximum amount of money that you would be willing to invest? Why? Briefly described your thought process for this problem. (Assume all cash flows occur at the end of the year.) Use some type of a table to check your findings

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