Use the Following Information to Answer the Question(s)below

question 113

Multiple Choice

Use the following information to answer the question(s) below.
Suppose that all stocks can be grouped into two mutually exclusive portfolios (with each stock appearing in only one portfolio) : growth stocks and value stocks.Assume that these two portfolios are equal in size (market value) ,the correlation of their returns is equal to 0.6,and the portfolios have the following characteristics: The risk-free rate is 3.5%.
-The Sharpe ratio for the value stock portfolio is closest to:

• A).53.
• B).58.
• C).61.
• D).79.

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Definitions:

Lactose Intolerance

A condition where the body lacks the enzyme needed to digest lactose, leading to digestive issues after consuming dairy products.

Rectum

The final straight segment of the large intestine, ending at the anus, where feces are stored before elimination.

Constipation

A common digestive condition where an individual experiences difficulty in bowel movements or has infrequent stools, often leading to discomfort.

Enema

A medical procedure involving the introduction of liquids into the rectum and colon via the anus, often used for cleaning or medicinal purposes.