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4. The distribution of stock X and stock Y returns next year are listed as follows. State of the Economy Probability of State Stock
4. The distribution of stock X and stock Y returns next year are listed as follows. State of the Economy Probability of State Stock X return of the Economy Boom 10.00% 15.70% Normal 65.00% 7.30% Recession 25.00% -6.50% Stock Y return 17.20% 8.60% -8.60% What is the expected return on a portfolio comprised of $5,620 of Stock X and $2,470 of Stock Y? (Show your work)
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Expected Return of Stock X Multiplying the return of Stock X in each state b...
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Intermediate Financial Management
Authors: Eugene F. Brigham, Phillip R. Daves
11th edition
978-1111530266
