Yahoo stock has an average return of 15 percent. Its beta is 1.5. Its standard deviation of returns is 20 percent. The average risk-free rate is 6 percent. The Sharpe index for Yahoo stock is ______

	A.	0.35
	B.	0.36
	C.	0.45
	D.	0.28
	E.	None of these are correct.

Kandle Company paid a dividend of $4.76 per share this year and plans to pay a dividend of $5 per share next year, which is expected to increase by 3 percent per year subsequently. The required rate of return is 20 percent. The value of Kandle stock, according to the dividend discount model, is $____.

	A.	39.67
	B.	41.67
	C.	33.33
	D.	31.73
	E.	None of the given answers are correct.