Question
You have $100 to invest in a risky asset with an expected return of 12% and a standard deviation of 15%. T-bill has rate of
You have $100 to invest in a risky asset with an expected return of 12% and a standard
deviation of 15%. T-bill has rate of 5%. If the portfolio has an expected outcome of $115 then
how much you have invested in risky assets and how much you have invested in risk free asset?
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Business Mathematics
Authors: Gary Clendenen, Stanley A Salzman, Charles D Miller
12th Edition
0135109787, 9780135109786
