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Suppose that the S&P 500, with a beta of 10, has an expected return of 14% and T-bills provide a risk-free return of 5% 6.

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Suppose that the S&P 500, with a beta of 10, has an expected return of 14% and T-bills provide a risk-free return of 5% 6. What would be the expected return and beta of portfolios constructed from these two assets with weights in the S&P 500 of() O: (19) 0.25: (11) 0.50: (V) 0.75: (V) 10? (Leave no cells blank - be certain to enter "0" wherever required. Do not round intermediate calculations. Enter the value of Expected return as a percentage rounded to 2 decimal places and value of Beta rounded to 2 decimal places.) Expected Return Beta 0 (6 0 025 050 S S 0.75 1.0 (v) b. How does expected retum vary with beta? (Do not round intermediate calculations.) The expected return for a one unit increase in beta

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