Question: Examine the chart below of expected returns versus standard deviation: Choose the correct answer: A. portfolio C is objectively better than portfolio B because it

Examine the chart below of expected returns versus standard deviation:

Choose the correct answer:

A. portfolio C is objectively better than portfolio B because it has the higher expected return

B. portfolio C is objectively better than portfolio B because it has the lower standard deviation

C. portfolio C is objectively better than portfolio B because it has the higher Sharpe ratio

D. portfolio B is objectively better than portfolio C because it has the higher Sharpe ratio

18.00% Portfolio C 16.00% 14.00% PortfolioA 12.00% Portfolio B 10.00% Opportunity Set CAL 8.00% 6.00% 4.00% 2.00% 0.00% 0.00% 10.00% 20.00% 30.00% 40.00%

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