Exhibit 15 -Refer to Exhibit 15

Exhibit 15.1
Use the Information Below for the Following Problem(S)
A portfolio manager is trying to establish a strategic asset allocation for two different clients, Bob Bowman and Tom Luck. Bob Bowman has a risk tolerance factor of 22 and Tom Luck has a risk tolerance factor of 6. The characteristics of the three model portfolios under consideration are provided in the table below.
                               $\begin{array}{c}\begin{array}{lll}\text{Asset Mix}\end{array}\begin{array}{lll}&&&\end{array}\begin{array}{lll}Expecterd\end{array}\end{array}$
$\begin{array}{cllcc}\text { Portfolio } & \text { Stock } & \text { Aond } & \begin{array}{c} \\\text { Return }\end{array} & \text { Variance } \\\hline \text { A } & 0.75 & 0.25 & 0.12 & 0.45 \\\text { B } & 0.4 & 0.6 & 0.08 & 0.16 \\\text { C } & 0 . & 0.7 & 0.05 & 0.66\end{array}$
-Refer to Exhibit 15.1.The recommended portfolio for Tom Luck is

A) Portfolio A because it has expected utility of 9.95
B) Portfolio A because it has expected utility of 4.5
C) Portfolio B because it has expected utility of 5.33
D) Portfolio B because it has expected utility of 7.27
E) Portfolio C because it has expected utility of 6.75