QUESTION 10 Consider the two (excess return) index-model regression results for stocks A and 8 The risk-free rate over the period was 6% and the market's average return was 15% Performance is measured using an index model regression on excess returns What is the information Ratio of each stock Stock A Stock Index model regression estimates 0.5% + 1.1/Rm RD 0.8%+0.9 Rm-RD R-square 0.594 0.445 Residual standard deviation 5.60% 9.40% Standard deviation of excess returns 16.90% 19 50% -0.982 for Stock A: -0.553 for Stock B 0 030 for Stock A 0.041 for Stock B -0.325 for Stock A -0.267 for Stock B 0.089 for Stock A: 0.085 for Stock B