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Suppose teasury bond yields are 2 . 5 % . Company ABCs expected rate or return is 1 0 % per year, and the standard

Suppose teasury bond yields are 2.5%. Company ABCs expected rate or return is 10%per year, and the standard deviation of its returns is 8%. Company XYZs expected return is 7% per year, and sigma is 5%. Based on sharpe ratio, which company is more risky for an investor?

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