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Consider the following data for two investments, A and B: Investment A: x x = 11 and s = 8Investment B: x x = 9

Consider the following data for two investments, A and B:

Investment A:x

x= 11 ands= 8Investment B:x

x= 9 ands= 6

a-1.Which investment provides the higher return?

  • Investment B
  • Investment A

a-2.Which investment provides less risk?

  • Investment B
  • Investment A

b-1.Given a risk-free rate of 1.80%, calculate the Sharpe ratio for each investment.(Round your answers to 2 decimal places.)

Sharpe Ratio

Investment A-

Investment B-

b-2.Which investment provides the higher reward per unit of risk?

  • Investment B
  • Investment A

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