Question: Suppose that the expected return for stock A is 5,7 per cent, its beta is 1,5, and its volatility is 11,7 per cent. The market

Suppose that the expected return for stock A is 5,7 per cent, its beta is 1,5, and its volatility is 11,7 per cent. The market volatility is 10,6 per cent. Compute the Treynor measure for stock A, given that the risk-free rate is 1,8 per cent.

a. 0,003
b. 0,026
c. 0,038
e. 0,368

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