Finance Suppose the BlackRock Equity Dividend Fund sells at $ a share and has
a year average annual return of $ per share. The risk measure of beta is
The Columbia Dividend Income Fund sells for $ a share and has a year
average annual return of $ a share. The risk measure of beta is Donald
wants to spend no more than $ investing in these two funds, but he wants
to obtain at least $ in annual revenue. Donald also wants to minimize his
risk. Determine how many shares of each fund Donald should buy.
a
Donald should buy shares of the Blackrock Equity Dividend Fund and no shares of the Columbia Dividend Income Fund.
b
Donald should buy shares of the Blackrock Equity Dividend Fund and no shares of the Columbia Dividend Income Fund.
c
Donald should buy shares of the Blackrock Equity Dividend Fund and shares of the Columbia Dividend Income Fund.
d
Donald should buy no shares of the Blackrock Equity Dividend Fund and shares of the Columbia Dividend Income Fund.
e
Donald should buy no shares of the Blackrock Equity Dividend Fund and shares of the Columbia Dividend Income Fund.