1. Suppose you are the CFO at Makeover Cosmetics, an emerging beauty products MNC with a $100 million capital budget. You have the option to expand into South Korea and/or Singapore. You can either invest the entire budget in either country or split it into $30 million in S. Korea and the rest in Singapore. If the following details are provided, what is your best option? Compute expected return and standard deviation of the portfolio and compare with each countrys numbers. (5+10)

	Expected Return	Standard Deviation	Correlation Coefficient
South Korea	10%	20%	-0.9
Singapore	30%	25%