Round your answers to 2 decimal places (only if necessary). PDF Use the table for the question(s) below. Consider the following expected returns, volatilities, and correlations. Stock | DEF GHI Corr w Corr w Corr w E[Return] Std. Dev. ABC DEF GHI 15% 25% 1.0 0.0 0.7 15% 25% 0.0 1.0 0.3 5% 35% 0.7 0.3 1.0 Assume all investors are risk-averse (prefer higher expected return and/or lower volatility). Do not assume the CAPM is true. For each of the following questions indicate true or false, then explain your answer briefly. a) Investors should prefer a portfolio with 50% in ABC and 50% in GHI over a portfolio with 50% in DEF and 50% in GHI. b) If the risk-free rate is 3%, all investors should prefer a portfolio with 20% in the risk-free asset and 80% in ABC over a portfolio with 80% in the risk-free asset and 20% in ABC