Please provide detailed answers on how you calculate answers.

Using the following information to complete the problem:

Assume the risk-free rate (r_RF) is 4 percent and the required return on the market portfolio (r_M) is 10% + 1.

Stock	Amount invested	Beta ()	Expected Return
1	$40,000	1.00	12%
2	$25,000	0.75	13%
3	$25,000	1.50	15%

Part a, Find the expected return for the portfolio. (Hint: Expected return is a weighted average return.) (5 points)

Part b, Using the same information above, find the beta for the portfolio. (Hint: Portfolio beta is a weighted average beta.) (5 points)

Part c. Using the same information above, find the required rate of return for the portfolio. (Hint: the required rate of return of a stock based portfolio is based on CAPM/SML.) (5 points)

Part d, Please comment on the portfolios expected rate of return and required rate of return. (Hint: using SML, above or below the line). (5 points)