Question: Morgan stock has an average return minus the average risk-free rate of 12.5 percent, a beta of 2.5, and a standard deviation of returns of
Morgan stock has an average return minus the average risk-free rate of 12.5 percent, a beta of 2.5, and a standard deviation of returns of 20 percent. The Treynor index of Morgan stock is
| a. | none of the above | |
| b. | 0.35. | |
| c. | 0.03. | |
| d. | 0.05. | |
| e. | 0.0625. |
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