A Portfolio Consists of the Following Two Funds What Is the Sharpe Ratio of the Portfolio?
A)

A portfolio consists of the following two funds:
$\begin{array}{lrr}&\text { Fund A }& \text { Fund B }\\\text { Expected Return } & 13 \% & 9\% \\\text { Standard deviation } & 16 \% & 10\% \\\text { Eortfolio market value } & \$ 6,000 & \$ 14,000\\\text {Correlation}{R}_A,{R}_B&0.54\\\text { Rigk-free rate }&4\%\end{array}$
What is the Sharpe ratio of the portfolio?

A) .391
B) .453
C) .529
D) .596
E) .640