Is it possible that most investors might regard Stock. B as being less risky than Stock A? I. If Stock B is less highly correlated with the market than A, then it might have a higher beta than Stock A, and hence be more riaky in a portfolio sense. II. If Stock B is more highly correlated with the market than A, then it might have a higher beta than Stock A, and hence be less risky in a portfolio sense. III. If Stock B is more highly correlated with the market than A, then it might have a lower beta than Stock A, and hence be less risky in a portfolio sense. IV. If Stock B is more highly correlated with the market than A, then it might have the same beta as Stock A, and hence be just as risky in a portfolio sense. V. If Stock B is less highly correlated with the market than A, then it might have a lower beta than 5 tock A, and hence be less risky in a portfolio sense. c. Assume the risk-free rate is 4.5\%. What are the Sharpe ratios for Stocks A and B ? Do not round intermediate caiculations. Round your answers to fatur decimal places. Stock A: Stock B: Are these calculetions consistent with the information obtained from the coefficient of variation calculations in Part b? 1. In a stand-alone riek sense A is more risky than B. If stock B is less highly correlated with the market than A, then it might hove a higher beta than Stock A, and hence be more risky in a portfolio sense. II. In a stand-alone risk sense A is less risky than B. If Stock B is more highly correlated with the market than A, then it might Is it possible that most investors might regard Stock. B as being less risky than Stock A? I. If Stock B is less highly correlated with the market than A, then it might have a higher beta than Stock A, and hence be more riaky in a portfolio sense. II. If Stock B is more highly correlated with the market than A, then it might have a higher beta than Stock A, and hence be less risky in a portfolio sense. III. If Stock B is more highly correlated with the market than A, then it might have a lower beta than Stock A, and hence be less risky in a portfolio sense. IV. If Stock B is more highly correlated with the market than A, then it might have the same beta as Stock A, and hence be just as risky in a portfolio sense. V. If Stock B is less highly correlated with the market than A, then it might have a lower beta than 5 tock A, and hence be less risky in a portfolio sense. c. Assume the risk-free rate is 4.5\%. What are the Sharpe ratios for Stocks A and B ? Do not round intermediate caiculations. Round your answers to fatur decimal places. Stock A: Stock B: Are these calculetions consistent with the information obtained from the coefficient of variation calculations in Part b? 1. In a stand-alone riek sense A is more risky than B. If stock B is less highly correlated with the market than A, then it might hove a higher beta than Stock A, and hence be more risky in a portfolio sense. II. In a stand-alone risk sense A is less risky than B. If Stock B is more highly correlated with the market than A, then it might
