Exhibit 18-9
THE FOLLOWING INFORMATION IS FOR THE NEXT PROBLEM(S)

Exhibit 18-9
THE FOLLOWING INFORMATION IS FOR THE NEXT PROBLEM(S)
Consider the following information for four portfolios, the market and the risk free rate (RFR) $\begin{array}{|l|c|c|c|}\hline \text { ortfolio } & \text { Return } & \text { Beta } & \text { SD } \\\hline \text { A1 } & 0.15 & 1.25 & 0.182 \\\hline \text { A2 } & 0.1 & 0.9 & 0.223 \\\hline \text { A3 } & 0.12 & 1.1 & 0.138 \\\hline \text { A4 } & 0.08 & 0.8 & 0.125 \\\hline \text { Market } & 0.11 & 1 & 0.2 \\\hline \text { RFR } & 0.03 & 0 & 0 \\\hline\end{array}$
-Refer to Exhibit 18-9. Calculate the Sharpe Measure for each portfolio.

A) A1 = 0.40, A2 = 0.31, A3 = 0.65, A4 = 0.66
B) A1 = 0.31, A2 = 0.66, A3 = 0.65, A4 = 0.40
C) A1 = 0.66, A2 = 0.65, A3 = 0.31, A4 = 0.40
D) A1 = 0.66, A2 = 0.31, A3 = 0.65, A4 = 0.40
E) None of the above.