The individual investor's optimal portfolio is designated by

A. the point of tangency with the indifference curve and the capital allocation line.
B. the point of the highest reward to variability ratio in the indifference curve.
C. the point of highest reward to variability ratio in the opportunity set.
D. the point of tangency with the opportunity set and the capital allocation line.
E. None of the options are correct.


Answer: A

Business

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