Consider the following information for stocks A$,$ B$,$ and C$.$ The returns on the three stocks are positively correlated, but they are not perfectly correlated. $($That is$,$ each of the correlation coefficients is between $0$ and $1.)$

$\backslash$table$[[$Stock$,$Expected Return,Standard Deviation,Beta$],[$A$,8\mathrm{.}30\%,14\%,0\mathrm{.}8],[$B$,9\mathrm{.}35,14,1\mathrm{.}1],[$C$,11\mathrm{.}10,14,1\mathrm{.}6]]$

Fund $P$ has one$-$third of its funds invested in each of the three stocks. The risk$-$free rate is $5\mathrm{.}5\%,$ and the market is in equilibrium. $($That is$,$ required returns equal expected returns.$)$

a$.$ What is the market risk premium $(r_M-r_{RF})?$ Round your answer to one decimal place. $\%$

b$.$ What is the beta of Fund P$?$ Do not round intermediate calculations. Round your answer to two decimal places.

c$.$ What is the required return of Fund P$?$ Do not round intermediate calculations. Round your answer to two decimal places. $\%$

d$.$ What would you expect the standard deviation of Fund $P$ to be$?$

I. Less than $14\%$

II$.$ Greater than $14\%$

III. Equal to $14\%$