Asset a Has an Expected Return of 20% and a Standard

question 22

Multiple Choice

Asset A has an expected return of 20% and a standard deviation of 25%. The risk-free rate is 10%. What is the reward-to-variability ratio?

• A) .40
• B) .50
• C) .75
• D) .80

---

Definitions:

Religion-based Techniques

Strategies or practices grounded in religious beliefs used to solve problems, improve well-being, or achieve spiritual goals.

Active Attitude

A proactive and engaged approach to situations, characterized by taking initiative and directly influencing outcomes.

Non-analytic Way

Pertaining to approaches or methods that do not involve detailed examination or analysis, often relying on intuition or abstract thinking.

Adaptive Coping

Strategies that allow individuals to effectively address stress and adversity, leading to positive outcomes and psychological well-being.