1. From the following list, mark all the correct statements about the process of marking-to-market.
a) Market to market impacts only short positions
b) Marking to market results in the posting of gains or losses to each account daily
c) The process of marking a contract to market may result in a margin call
d) Market to market impacts only long positions
2. For Investment A, the probability of the return being 20.0% is 0.5, 10.0% is 0.4, and –10.0% is 0.1. Compute the standard deviation for the investment with the given information. (Round your answer to one decimal place.)
a.9.0% b.15.0% c.85.0% d.34.0% e.17.0%