1. The individual investor's optimal complete portfolio is designated by: a. The point of tangency with the indifference curve and the capital allocation line. b. The point of highest reward to variability ratio in the opportunity set. c. The point of tangency with the opportunity set and the capital allocation line. d. The point of the highest reward to variability ratio in the indifference curve. e. None of these is correct.

This exercise illustrates that poor quality can affect schedules and costs. a manufacturing process has 130 customer orders to fill. each order requires one component part that is purchased from a supplier. however, typically, 3% of the components are identified as defective, and the components can be assumed to be independent. (a) if the manufacturer stocks 130 components, what is the probability that the 130 orders can be filled without reordering components? (b) if the manufacturer stocks 132 components, what is the probability that the 130 orders can be filled without reordering components? (c) if the manufacturer stocks 135 components, what is the probability that the 130 orders can be filled without reordering components?