The answer to question number 1 is bolded and is 100% correct. I need you to answer question 2 which is the same question but with different multiple-choice. pay a close attention to the choices

1. The change from a straight to a kinked capital allocation line reflects: A) reward-to-volatility ratio increasing. B) borrowing rate exceeding lending rate. C) investors risk tolerance decreasing. D) increase in the portfolio proportion of the risk-free asset.

2. The change from a straight to a kinked capital allocation line reflects: A) reward-to-volatility ratio decreasing. B) lending rate exceeding borrowing rate. C) investors risk tolerance decreasing. D) increase in the portfolio proportion of the risk-free asset.