Question: Considering these data where 'P1' estimates are analyst forecasts of future stock prices: Stock P0 P1 A 46 50 0.23 1.4 B 24.25 29 0.22

Considering these data where 'P1' estimates are analyst forecasts of future stock prices: Stock P0 P1 A 46 50 0.23 1.4 B 24.25 29 0.22 1.2 C 31.85 34 0.28 2 D 37.6 44 0.33 1.6 Market Risk Premium 0.0575 T-bill rate 0.0325 Using the analyst forecasts of E(r), which stock has the highest Sharpe ratio?

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