Boris stock has an average return of 15 percent. Its beta is 1.5. Its standard deviation of returns is 25 percent. The average risk-free rate is 6 percent. The Sharpe index for Boris stock is
A)0.35.
B)0.36.
C)0.45.
D)0.28.
E)None of these are correct.

Question

Quizplus · Accepted Answer

The Answer of Boris stock has an average return of 15 percent. Its beta is 1.5. Its standard deviation of returns is 25 percent. The average risk-free rate is 6 percent. The Sharpe index for Boris stock is
A)0.35.
B)0.36.
C)0.45.
D)0.28.
E)None of these are correct.

Boris Stock Has an Average Return of 15 Percent