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1. The Common Stock of The Aristocrat Hotel should Return 23 percent in a Boom economy, 16 percent in a Normal economy, and lose (have

1. The Common Stock of The Aristocrat Hotel should Return 23 percent in a Boom economy, 16 percent in a Normal economy, and lose (have a negative return) of 32 percent in a Recession. The Probabilities of a Boom economy, a Normal economy, and a Recession are: 5 percent, 90 percent, and 5 percent, respectively. A.) What is the Expected Return of the Portfolio and What is the Standard Deviation of the Returns on this Stock?

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