Question: This problem set is mandatory and cannot be dropped. Intro The retum statistics for two stocks and T-bills are given below. B D 1 2

This problem set is mandatory and cannot be dropped. Intro The retum statistics for two stocks and T-bills are given below. B D 1 2 Expected return 3 Variance Stock A Stock BT-bills 0.094 0.069 0.02 0.1296 0.0729 0.36 0.27 0.02916 4 Standard deviation 5 Covariance 11 Standard deviation Sharpe ratio 0.2442 0.2314 =810*0.5 =(19-D27B11 12 Attempt 3/10 for 10 pts Part 2 What is the Sharpe ratio of the optimal risky portfolio? $+ decimals Submit

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