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Suppose that the borrowing rate, 7% is greater than the lending rate, 4%. Show graphically and explain how the optimal portfolio choice of some investors

Suppose that the borrowing rate, 7% is greater than the lending rate, 4%. Show graphically and explain how the optimal portfolio choice of some investors will be affected by the higher borrowing rate. Which investors will not be affected by the borrowing rate and what will be their level of risk aversion? Explain with graph

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