Mohannad portfolio is composed of 60% Wal-Mart and 40% of Cisco systems. If Wal-Mart expected return is 8% with a beta of 1.3 and Cisco expected return is 11% with a beta of 1.7, what is the expected return on Mohannads portfolio?

a.

10.1%

b.

None of the above.

c.

9.6%

d.

9.2%

e.

8.9%