Question $4[15$ Points$]$

Which statement is correct, a or b: a$)$ evidence suggest that strategic asset allocation

explains $93\mathrm{.}6\%$ of returns; b$)$ evidence suggest that strategic asset allocation explains

$93\mathrm{.}6\%$ of the variation of returns $[5$ Points$]$

Calculate levered return $($with debt$)$ for apartment, which you bought for $150,000,$ it

generates $750$ gross and $700$ net monthly income, leverage percentage is $100\%-$your

age $\%$ and cost of debt is $6\%[5$ Points$]$

Explain whether INVL keeps or changes existing management in place when they

acquire business and why? $[5$ Points$]$