Annual total returns for nine years are shown below for eight mutual funds. Characteristic lines are calculated using annual market returns. The ex post values are as follows: Fund (l) RP (%) (4) (2) (96) 20.0 17.8 25.0 24.5 17.4 18.0 9.0 21.5 (3)ap 7.53 11.70 3.12 9.00 6.15 0.1I 1.37 9.52 (5) R2 7.0 9.0 2.3 20.0 5.0 9.0 8.6 20.0 0.88 0.65 0.83 .00 0.79 0.83 0.91 0.93 0.82 0.57 0.47 0.72 0.88 0.89 0.95 0.78 where - mean annual total return for each fund Rp n standard deviation of the annual yields the intercept of the characteristic line pp - the slope Using an 8.6 percent risk-free return a. Calculate Sharpe's measure for each of these eight funds and rank the eight funds b. Calculate Treynors measure for each fund and perform the same ranking as in c. Use the R2 in column 5 to comment on the degree of diversification of the eight from high to low performance. part a mutual funds. Which fund appears to be the most highly diversified? Which fund