$3.$ A

Your friend wants to invest in stock market. But he is confused how much amount to invest in different stocks. With the help of sharpe ratio, help your friend to prepare optimum portfolio.

Stock Sharpe Ratio

S$11\mathrm{.}5$

S$22$

S$32\mathrm{.}5$

Total $6$

B

If you have Rs$.10,000$ and decides to invest $40\%$ in mutual fund and rest in shares.

Expected return from mutual fund is $8\%$ and from shares is $12\%.$ How will you calculate total expected return?