A proper portfolio was created by investing $30\%($or a weight of $0\mathrm{.}3)$ of the funds in Asset A

$($standard deviation $=20\%)$ and the balance of the funds in Asset B $($standard deviation $=12\%).$

If the correlation coefficient is $0\mathrm{.}8,$ what is the portfolio standard deviation?

A $10\mathrm{.}6\%$

B $12\mathrm{.}4\%$

C $13\mathrm{.}7\%$

What would the answer be if the correlation was $0\mathrm{.}8$

A $2\mathrm{.}8\%$

B $4\mathrm{.}2\%$

C $5\mathrm{.}0\%$