0.5 pts Question 7 Based on your research, an investment is expected to generate a net present value of $12,086 in a boom state, and a net present value of $2,514 in a recession state. There is a 40% chance of boom and a 60% chance of recession. What is the expected NPV? Question 6 0.5 pts In a weak form efficient market, which of the following statement is incorrect? O It is not possible for investors to earn abnormal returns by possessing and trading on private information of a company. Technical analysis, that is analyzing past price pattern and volume, is futile. O Public information will be useful for investors to earn abnormal stock returns. There may be biased reaction (i.e. delayed or overraction) when company make announcements to the market