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samualson samualson
wrote...
Posts: 2459
6 years ago
Stock A has the following returns for various states of the economy:

State of the EconomyProbabilityStock A's Return
Recession10%-30%
Below Average20%-2%
Average40%10%
Above Average20%18%
Boom10%40%

Stock A's expected return is
A) 5.4%.
B) 7.2%.
C) 8.2%.
D) 9.6%
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wrote...
6 years ago
 C
 
samualson Author
wrote...
6 years ago
I wanna give this person a hug.
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