The Sharpe Ratio Is Computed as the Average

question 19

Multiple Choice

The Sharpe ratio is computed as the average:

• A)equity risk premium divided by the standard deviation.
• B)squared deviation divided by the average excess return.
• C)excess return divided by the variance of the returns.
• D)equity risk premium divided by the variance.
• E)squared deviation divided by the (Number of returns − 1).

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