Refer to the table to thebelow:(Click on the icon located on thetop-right corner of the data table below in order to copy its contents into aspreadsheet.)

Fund A Fund B

Beta 1.85 1.11

Investor A 22% 78%

Investor B 78% 22%

Between Investor A and InvestorB, which is more likely to represent a retiredcouple? Why?

The portfolio beta of investor A is _______. (Round to two decimalplaces.)

The portfolio beta of investor B is _______. (Round to two decimalplaces.)

(Select the best answerbelow.)

A.

Investor B would more likely be the retired couple because they would want to have low risk. InvestorA's portfolio is muchriskier, with a portfolio beta of 1.69 vs. 1.27 for InvestorB's portfolio.

B.

Investor A would more likely be the retired couple because they would want to have low risk. InvestorB's portfolio is muchriskier, with a portfolio beta of 1.27 vs. 1.69 for InvestorA's portfolio.

C.

Investor B would more likely be the retired couple because they would want to have low risk. InvestorA's portfolio is muchriskier, with a portfolio beta of 1.27 vs. 1.69 for InvestorB's portfolio.

D.

Investor A would more likely be the retired couple because they would want to have low risk. InvestorB's portfolio is muchriskier, with a portfolio beta of 1.69 vs. 1.27 for InvestorA's portfolio.