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Assume the following information for two stocks: Average return for Sooner stock=16% Average return for Longhorn stock = 14% Average risk-free rate=D10% Sooner' s

  

Assume the following information for two stocks: Average return for Sooner stock=16% Average return for Longhorn stock = 14% Average risk-free rate=D10% Sooner' s stock beta is 1.2 and Longhorn's beta is 1.0, What are their Treynor index? And how to value the risk?

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