You construct a portfolio containing two stocks, X and Y. You invest 45% of your funds in Stock X and the remainder in Stock Y. Stock X has an expected return of 6.1% and has a standard deviation of 12%. Stock Y has an expected return of 15.8% and has a standard deviation of 19%. The covariance between the two stocks is 0.0114. What is the expected return on the portfolio?
a. 11.84%
b. 11.24%
c. 10.74%
d. 11.44%
