The money manager is holding the following portfolio

Stock Amont Invested Beta

1 300,000 0.6

2 300,000 1.0

3 500,000 1.4

4 500,000 1.8

The risk free rate is 6% and the portfolio's required return is 12.5%. The manager would like to sell all of her holdings of Stock 1 and use the preceeds to purchase more shares of Stock 4. What would be the portfolio's required rate of return following this change?

A.13.63

B.10.29

C.11.05

D.12.52

E.14.33