Your retirement portfolio comprises 100 shares of the Standard & Poor's 500 fund (SPY) and 100 shares of iShares Barclays Aggregate Bond Fund (AGG). The price of SPY is

$ 130

and that of AGG is

$ 98

.

If you expect the return on SPY to be

11

%

in the next year and the return on AGG to be

6

%,

what is the expected return for your retirement portfolio?

A.

10.18

%

B.

7.52

%

C.

8.85

%

D.

7.97

%