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1- You are considering an investment costing $10,000, for which the future cash flows from owning the security depend on the state of the economy

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1- You are considering an investment costing $10,000, for which the future cash flows from owning the security depend on the state of the economy as estimated in this table. In any given year the investment could produce any one of three possible cash flows, depending on the particular state of the economy. State of the economy Probability of the states Cash flow from the investment % Return 25% Economic Recession $1,400 14% 35% $1,700 17% Moderate Economic Growth 55% $2000 20% Strong Economic Growth Requirements: By following above information calculate a-Expected cash flow b- Expected rate of return Use the editor to format your

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