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1. A portfolio with a 25% standard deviation generated a return of 17% last year when T-bills were paying 7.5%. This portfolio had a Sharpe
1. A portfolio with a 25% standard deviation generated a return of 17% last year when T-bills were paying 7.5%. This portfolio had a Sharpe ratio of __________.
a. 0.63
b. 0.25
c. 0.38
d. 0.21
2. An investment earns 30% the first year, earns 38% the second year, and loses 35% the third year. The total compound return over the 3 years was __________.
a. 142.19%
b. 16.61%
c. 33.00%
d. 5.54%
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