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Given a risk free rate of 6%, market return of 12%, and two stocks A and B with average returns of 19.75% and 11.25%, beta

Given a risk free rate of 6%, market return of 12%, and two stocks A and B with average returns of 19.75% and 11.25%, beta values of 1.8 and 0.8 and standard deviations of 26.3% and 17.5% respectively

Calculate the Sharpe and Treynor ratios for the two stocks. Which of the two stocks is better and why?

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