Question
You invest $100 in a risky asset with an expected rate of return of 0.12 and a standard deviation of 0.15 and a T-bill with
You invest $100 in a risky asset with an expected rate of return of 0.12 and a standard deviation of 0.15 and a T-bill with a rate of return of 0.05.
The slope of the Capital Allocation Line formed with the risky asset and the risk-free asset is equal to
A.0.41667
B.0.4667
C.0.8000
D.2.14
E.Cannot be determined.
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Personal Finance
Authors: Jack Kapoor, Les Dlabay, Robert J. Hughes
8th Edition
007322359X, 9780073223599
