Assume the given information over a five year period:
Average risk free rate = 6%
Average return for crane stock = 11%
Average return for load stock = 14%
Standard deviation of crane stock returns = 2%
Standard deviation of load stock returns = 4%
Beta of crane stock = 0.8
Beta of load stock = 1.1
Determine which stock has higher risk-adjusted returns when using the Sharpe index. Which stock has higher risk-adjusted returns when using the treynor index? Please show work.