1. __________ of your complete portfolio should be invested in the risky portfolio if you want your complete portfolio to have a standard deviation of 9%.
A. 100%
B. 90%
C. 45%
D. 10%
2. A portfolio that has an expected value in one year of $1,100 could be formed if you _________.
A. Place 40% of your money in the risky portfolio and the rest in the risk free asset
B. Place 55% of your money in the risky portfolio and the rest in the risk free asset
C. Place 60% of your money in the risky portfolio and the rest in the risk free asset
D. Place 75% of your money in the risky portfolio and the rest in the risk free asset