$\text { Investment }$ $\quad$ $\quad$

Multiple Choice

$\text { Investment }$ $\quad$$\quad$$\quad$$\quad$$\text { A }$ $\quad$$\quad$$\quad$$\quad$$\quad$$\quad$$\quad$$\quad$$\quad$$\quad$$\text { B }$
\begin{array}{|l|l|l|l|l|}\hline\\begin{array}{l}\text { State } \\\text { description }\end{array} & \text { Bad state } & \text { Good state } & \text { Bad state } & \text { Good state } \\\hline \text { Probability } & 0.5 & 0.5 & 0.5 & 0.5 \\\hline \text { Payoff } & 200 & 220 & 400 & 435 \\\hline\end{array}
-The share market is currently returning 18% p.a. ,while the risk-free asset return is 6%.If an investor wishes to earn a return of 10%,what weight should the investor hold in the risk-free asset?

A) $0.500$
B) $0.600$
C) $0.667$
D) $0.750$