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Suppose that the S&P 500, with a beta of 1.0, has an expected return of 13% and T-bills provide a risk-free return of 4% a.

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Suppose that the S&P 500, with a beta of 1.0, has an expected return of 13% and T-bills provide a risk-free return of 4% a. What would be the expected return and beta of portfolios constructed from these two assets with weights in the S&P 500 of (00 (0.25; (0) 0.50; (v) 0.75; (v) 107 Note: 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 000 % 00 0.25 % (4) 0.50 % () 0.75 % (v) 1.0 % b. How does the expected return vary with beta? Note: Do not round intermediate calculations. The expected return by % for a one unt increase in bet

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