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1)Managers prefer investments that enhance their own human capital and _____________________

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1)Managers prefer investments that enhance their own human capital and
_____________________.
A) minimise risk which leads to larger, diversified firms
B) minimise risk which leads to smaller, selected firms
C) maximise risk which leads to larger, diversified firms
D) none of the above

2)Which of the following is/are not true for the efficient frontier formed with n risky securities. Select one or more: O A. The efficient frontier is formed with portfolios that have the highest mean- variance utility given the level of variance. B. The efficient frontier is formed with portfolios with the highest standard deviations for a given level of expected returns. C. The efficient frontier is formed with the portfolios that have the highest Sharpe ratio. D. The efficient frontier is the set of solutions for the Markowitz probem that lies above the minimum variance portfolio. E. The efficient frontier is formed with the portfolios that have the highest risk premium for a given level of standard deviations.