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1.A respected analyst forecasts that the return of the S&P 500 Index portfolio over the coming year will be 10%. The one-year T-bill rate is
1.A respected analyst forecasts that the return of the S&P 500 Index portfolio over the coming year will be 10%. The one-year T-bill rate is 5%. Examination of recent returns of the S&P 500 Index suggests that the variance of returns will be 324. The Sharpe ratio of the Index is: A) 0.18 B) 0.28 0.015 0.48
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