rpassive fund before fees = restock index=6% + Ut active fund before fees = 1.80% +1.1* restock index + & where the error terms ut and are independent over time and of each other, have zero means E(u+) = E(+) = 0, and volatilities of var(u) = 15% and (var(+) = 4%. The hedge fund uses the same strategy as the active mutual fund, but implements the strategy as a long-short hedge fund, applying 4 times leverage, generating the following return before fees: Question 1 What is the active mutual fund's beta (with respect to the stock index)? O a. 1 O b. 0 c. 0.909 O d. 1.018 e. 1.1 It hedge fund before fees 4 * (reactive fund before fees - stock index)