Calculating Expected Return Based on the following information, calculate the expected return: State of economy Probability of

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Calculating Expected Return Based on the following information, calculate the expected return:

State of economy Probability of state of economy Portfolio return if state occurs Recession 0.25 −0.05 Normal 0.50 0.12 Boom 0.30 0.21

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Fundamentals Of Corporate Finance

ISBN: 9780077178239

3rd Edition

Authors: David Hillier, Iain Clacher, Stephen A. Ross

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