A Portfolio Has an Average Return of 9

question 27

Multiple Choice

A portfolio has an average return of 9.7 percent,a standard deviation of 8.6 percent,and a beta of .72.The risk-free rate is 2.1 percent.What is the Treynor ratio?

• A).098
• B).106
• C).121
• D).636
• E).884

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Definitions:

Classical Studio Era

Period in Hollywood history, approximately from the 1920s to the 1950s, characterized by films produced and distributed by a few major studios.

Major Motion Pictures

Films produced by large studios with significant budgets, typically featuring well-known actors, and intended for a wide theatrical release.

Middle-management Executive

A professional who manages the day-to-day operations of a company and is responsible for bridging the gap between the executive management and the company's lower-level employees.

Boss's Affair

A secretive romantic or sexual relationship involving someone's supervisor, often leading to workplace complications or scandals.