Question 3 (Mandatory) (1 point) There are cost benefits to passive investing driving the current boom in ETFs. Assume you pay your mutual fund company 1% in fees per year over a period of 20 years. Your $100,000 initial investment in 20 years will be worth _____ at 7% compound annual return w/o any fees and ____ at 6% compound annual return if you account for the annual fee of 1%. $140,000; $120,000 $240,000; $220,000 O not sure $386,968; $320,000 Question 10 (Mandatory) (1 point) Sharpe Ratio: Assume a risk-free rate of 6%. Asset A has an expected return of 14% and a reward-to-variability ratio of 4. Asset B has an expected return of 16% and a reward-to-variability ratio of .5. A risk-averse investor would prefer a portfolio using the risk-free asset and O asset B The answer cannot be determined from the data given. O no risky asset O asset A