Stock A has an expected return of 12%, a standard deviation of 24% on its returns, and a beta of 1.2. Stock B has an expected return of 15%, a standard deviation of 30% on its returns, and a beta of 1.5. The correlation between the two stocks is 0.8. If we invested $30,000 in Stock A and $20,000 in Stock B, what is the beta of our portfolio?

Select one:

a. 1.03

b. 1.25

c. 1.32

d. 1.40

e. 1.56