Solved

The Sharpe Ratio Is Defined as

Question 2

Multiple Choice

The Sharpe ratio is defined as

A) (r_P − r_f) /σ_P_.
B) (r_P − r_M) /σ_P_.
C) (r_P − r_f) /β_P_.
D) (r_P − r_M) /β_P_.

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