A Portfolio Has a Variance of 0

question 38

Multiple Choice

A portfolio has a variance of 0.031050,a beta of 1.40,and an expected return of 13.3 percent.What is the Treynor ratio if the expected risk-free rate is 4.5 percent?

• A) 0.055
• B) 0.063
• C) 0.367
• D) 0.498
• E) 0.512

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Definitions:

Manubrium

The upper portion of the sternum, connecting to the clavicles and the first pair of ribs.

Thoracic Expansion

The ability of the chest to expand and contract during breathing, often measured to assess respiratory health.

Respiratory System

The biological system consisting of specific organs and structures used for gas exchange in animals and plants, including the lungs in humans.

Older Adult

An individual who has reached an advanced stage of life, often defined as being 65 years of age or older, with considerations for health, social, and psychological needs.