Consider two securities X and Y. X has an expected return of 20%, standard deviation of 20% and beta of 1.5. Y has an expected return of 10%, standard deviation of 30%, and beta of 1. Risk-free return is 5%. What is the portfolio expected return and the portfolio beta if you invest 35 percent in X, 45 percent in Y, and 20 percent in the risk-free asset?

A. 12.5%, 0.975

B.12.5%, 1.975

C. 15.0%, 0.975

D. 15.0%, 1.975