Use the following table to answer the next three questions.

	Avg. Annual Return	P	P	R2
Fund A	.070	.085	.85	.72
Fund B	.125	.155	1.25	.85
Fund C	.160	.225	1.40	.90
Fund D	.125	.150	.90	.25

Given the following Mutual Fund performance data over the past 10 years, determine the appropriate risk-adjusted performance measure and number. Assume a risk free return of 3.5%.

Fund As appropriate performance ratio and value is:

		Use the Sharpe Ratio; the Sharpe Ratio = Sharpe Ratio = .41
		Use the Treynor Ratio; the Treynor Ratio = .82
		Use the Sharpe Ratio; the Sharpe Ratio = .82
		Use the Treynor Ratio; the Treynor Ratio =.041