2) Stock A has the following returns for various states of the economy: State of the Probability 10% 20% 40% 20% 10% Stock A's Return -30% -2% 10% 18% 40% Economy kecession Below Average Average Above Average Boom Stock A's expected return is A) 5.4%. B) 7.2%. C) 8.2%. D) 9.6% 3) You are considering a sales job that pays you on a commission basis or a salaried position that pays you $50,000 per year. Historical data suggests the following probability distribution for your commission income. Which job has the higher expected income? Probability of Commission Occurrence $15,000 $35,000 15 .20 $48,00040 .35 567.00022 .18 $80,000 A) The salary of $50,000 is greater than the expected commission of $49,630. B) The salary of $50,000 is greater than the expected commission of $48,400. C) The salary of $50,000 is less than the expected commission of $50,050. D) The salary of $50,000 is less than the expected commission of $52,720