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UPS, a delivery services company, has a beta of 1.4, and Wal-Mart has a beta of 1 The risk-free rate of interest is 4% and

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UPS, a delivery services company, has a beta of 1.4, and Wal-Mart has a beta of 1 The risk-free rate of interest is 4% and the market risk premium is 9%. What is the expected return on a portfolio with 40% of its money in UPS and the balance in Wal-Mart? OA. 13.72% B. 14.44% O C. 15.88% OD. 13%

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