1. Nautilus Clothing's stock has a 30% chance of producing a 15% return, a 20% chance of producing a 18% return, and a 50% chance of producing a -6% return. What is the stock's expected return

2. You've estimated the following expected returns for a stock, depending on the strength of the economy:

State (s)	Probability	Expected return
Recession	0.2	-0.03
Normal	0.5	0.08
Expansion	0.3	0.13