The following data is available for a risky portfolio managed by you:

Expected rate of return = 17%

Standard deviation of portfolio = 27%

T-bill rate = 7%

Required

Calculate the expected return and standard deviation of a clients portfolio who wishes to invest 70% in the risky portfolio and 30% in T-Bill money market.

Calculate the beta of a portfolio, given the following details:

E(rp) = 20%

rf = 5%

E(rm) = 15%