There are three mutual funds. The first is a stock fund, the second is a long-term government and corporate bond fund, and the third is a T-bill money market fund that yields a sure rate of 5%. The probability distributions of the risky funds are: Expected Return Standard Deviation Stock funds (S) 14% 30% Bond funds (B) 10% 20% The returns of stock fund and bond fund are independent (the correlation coefficient Pas = 0) 8) Use the formula below to compute the optimal portfolio weights. What is the Sharpe ratio of the optimal risky portfolio? [E(T)-ro-[E(rs) - TOPS Wg== [E(rs) - ry] + [E(rs) - Tylos - [E(1) - ry +E(rs) - ry]08SPBS Ws = 1- Wg a) 0.29 b) 0.39 c) 0.49 d) 0.59