1. According to Markowitz risk can be:
A) Analyzed exclusively
B) Minimized and eliminated without diversification
C) Eliminated without compromising the overall returns
D) Minimized by selecting an optimum combination of investments
2. An open-end fund has a net asset value of $11.00 per share. It is sold with a front-end load of 7%. What is the offering price? (Round your answer to 2 decimal places.)
Offering price
3. Your parents will retire in 25 years. They currently have $400,000, and they think they will need $1,450,000 at retirement. What annual interest rate must they earn to reach their goal, assuming they don't save any additional funds? Round your answer to two decimal places.