You are contemplating an investment in two securities$,$ Highbull and Slowbear, with the following probability distributions and possible returns:

Security

Probability

Possible return

Highbull

$0,3$

$0,4$

$0,3$

$10\%$

$10\%$

$30\%$

Slowbear

$0,3$

$0,4$

$0,3$

$40\%$

$20\%$

$30\%$

You are required to calculate the expected return of a portfolio totalling R$20000,$ with R$15000$ allocated to security Highbull and the remainder in security Slowbear.

$1.$

$3,25\%$

$2.$

$7,50\%$

$3.$

$10,75\%$

$4.$

$11,50\%$