Suppose that many stocks are traded in the market and that it is possible to borrow at the risk-free rate, rf . The characteristics of two of the stocks are as follows: Stock Expected Return Standard Deviation A 11 % 35 % B 17 65 Correlation = 1 Required: (a) Calculate the expected rate of return on this risk-free portfolio. (Hint: Can a particular stock portfolio be substituted for the risk-free asset?) (Omit the "%" sign in your response. Round your answer to 2 decimal places.) Rate of return % (b) Could the equilibrium rf be equal to 13.1%?