Assume that a company has an existing portfolio A with an expected return of 9 percent and a standard deviation of 3 percent. The company is considering adding an asset B to its portfolio. Asset B's expected return is 12 percent with a standard deviation of 4 percent. Also assume that the amount invested in A is $700,000 and the amount to be invested in B is $200,000. If the degree of correlation between returns from portfolio A and project B is zero, calculate: