The following table repeats the annual total returns on the MSCI Germany Index previously given and also gives the annual total returns on the JP Morgan Germany five- to seven-year government bond index (JPM 57 Year GBI, for short). During the period given in the table, the International Monetary Fund Germany Money Market Index (IMF Germany MMI, for short) had a mean annual total return of 4.33 percent. Use that information and the information in the table to answer the following questions.

Year	MSCI Germany Index (%)	JPM Germany 5-7 Year GBI (%)
1993	46.21	15.74
1994	-6.81	-3.40
1995	8.04	18.30
1996	22.87	8.35
1997	45.90	6.65
1998	20.32	12.45
1999	41.20	-2.19
2000	-9.53	7.44
2001	-17.75	5.55
2002	-43.06	10.27

a) Using the IMF Germany MMI as a proxy for the risk-free return, calculate the Sharpe ratio for:

(i) the 60/40 equity/bond portfolio described in Problem 12.

(ii) the MSCI Germany Index.

(iii) the JPM Germany 57 Year GBI.

b) Contrast the risk-adjusted performance of the 60/40 equity/bond portfolio, the MSCI Germany Index, and the JPM Germany 57 Year GBI, as measured by the Sharpe ratio.