You want to evaluate three mutual funds using the Treynor ratio for performance evaluation. The risk-free rate 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		Beta
Fund A	24	%	30	%	1.5
Fund B	12	%	10	%	0.5
Fund C	22	%	20	%	1.0
S&P 500	18	%	16	%	1.0

The fund with the highest Treynor ratio is __________.

A) Fund A.

B) Fund B.

C) Fund C.

D) Funds A and B (tied for highest).

E) Funds A and C (tied for highest).