ABC's well-diversified portfolio has an expected return of 12.0% and a beta of 1.20. She is in the process of buying 100 shares of XYZ Corp. at $20 a share and adding it to her portfolio. XYZ has an expected return of 15.0% and a beta of 1.80. The total value of your current portfolio is $8,000. What will the expected return and beta on the portfolio be after the purchase of the XYZ stock?

A. 12.60%; 1.32

B. 12.40%; 1.30

C. 12.50%; 1.31 D. 12.30%; 1.28