Suppose that the S&P 500, with a beta of 1.0, has an expected return of 12% and T-bills provide a risk-free return of 5%. a. What would be the expected return and beta of portfolios constructed from these two assets with weights in the S&P 500 of (i) 0; (ii) .25; (iii) .50; (iv) .75; (v) 1.0? (Leave no cells blank - be certain to enter "0" wherever required. Do not round intermediate calculations. Round your answers to 2 decimal places.)

Expected return Beta

(i) 0 % ________% ______ (ii) .25 % ________% _______ (iii) .50 % _______% _______ (iv) .75 % _______% _______ (v) 1.0 % ________% _______