You want to evaluate three mutual funds using the Sharpe measure for performance evaluation. The risk-free return during the sample period is 6%. The average returns, standard deviations, and betas for the three funds are given below, as are the data for the S&P 500 Index.

	Average Return	Standard Deviation
Fund A	24%	30%
Fund B	12%	10%
Fund C	22%	20%
S&P 500	18%	16%

The fund with the highest Sharpe measure is:

Multiple Choice

• Fund A.

• Fund B.

• Fund C.

• Funds A and B (tied for highest).