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Show the answer in excel sheet and show the function Exercise 2 (4 marks) You have RO 200,000 to invest. The risk free rate is

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Show the answer in excel sheet and show the function

Exercise 2 (4 marks) You have RO 200,000 to invest. The risk free rate is 4.5%. The market portfolio has an expected return of 10% and a risk of 30%. 1) What is the mean and the standard deviation of your investment if you invest RO 155,000 in the market portfolio and RO 45,000 in the risk free rate asset? (2 marks) 2) You borrow RO 50,000 at a risk free rate and you invest it in a market portfolio. What is the mean and the standard deviation of your new investment? (2 marks)

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