Use the Below Payoff Table with Four Mortgage Options to Answer

Multiple Choice

Use the below payoff table with four mortgage options to answer the following question(s) .
-Which of the following best defines Sharpe ratio?

A) It is a ratio of a fund's excess returns to its coefficient of variation.
B) It is a ratio of a fund's excess returns to its standard deviation.
C) It is a ratio of a fund's excess returns to its variance.
D) It is a ratio of a fund's excess returns to its mean.