Exhibit 18-8
USE THE FOLLOWING INFORMATION FOR THE NEXT PROBLEM(S)

Exhibit 18-8
USE THE FOLLOWING INFORMATION FOR THE NEXT PROBLEM(S) $$\begin{array}{c}\text { Weights }\\\begin{array} { c c } \text { Palicy } & \text { Actual } \\\hline 50 \% \text { stacks } & 60 \% \text { stacks } \\50 \% \text { bonds } & 40 \% \text { bonds } \\ \quad \quad \quad \quad\text { Retunns } \\\text { Index } & \text { Actual } \\\hline \text { g\% 5tacks } & 9 \% \text { 5tacks } \\5 \% \text { bonds } & 7 \% \text { bonds }\end{array}\end{array}$$
-Refer to Exhibit 18-8. Which of the following statements is true?

A) The portfolio manager earned an extra 0.3% because of a shift in allocation out of bonds and into stocks.
B) The portfolio manager earned an extra 0.3% because of a shift in allocation out of stocks and into bonds.
C) The portfolio manager earned an extra 6.5% because of a shift in allocation out of bonds and into stocks.
D) The portfolio manager earned an extra 6.5% because of a shift in allocation out of stocks and into bonds.
E) None of the above.