Security	Return	Standard Deviation	Beta
A	15%	8%	1.2
B	12%	14%	0.9

What is the portfolio expected return and the portfolio beta if you invest 30% in A, 30% in B, and 40% in the risk-free asset? (For questions (d) and (e), assume the risk free rate of return is 5%.)

What is the portfolio expected return with 125% invested in A and the remainder in the risk-free asset via borrowing at the risk-free interest rate?

What is the beta of the portfolio created in part (e)?