Portfolio a Has a Return of 5% and a Standard $A=0.3 ; B=0.5$

question 23

Multiple Choice

Portfolio A has a return of 5% and a standard deviation of 10%.Portfolio B has a return of 8% and a standard deviation of 12%.If the risk-free rate is 2% portfolio,then the Sharpe indices of A and B are:

• A) \( A=0.3 ; B=0.5 \)
• B) \( \mathrm{A}=0.25 ; \mathrm{B}=0.25 \)
• C) \( \mathrm{A}=0.35 ; \mathrm{B}=0.1 \)
• D) \( \mathrm{A}=0.5 ; \mathrm{B}=0.1 \)

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