A mutual fund manager has a $40 million portfolio with a beta of 1.25. The risk-free rate is 2%, and the market risk premium is 10%. The manager expects to receive an additional $10 million, which she plans to invest in a number of stocks. After investing the additional funds, she wants the fund's required return to be 15%. What should be the average beta of the new stocks added to the portfolio? Select one: a. 1.4 b. 1.3 c. 1.6 d. 1.5 e. 1.7