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A stock has the following probability distribution: If economy is good ( the probability is 2 5 % ) , its expected stock return is

A stock has the following probability distribution: If economy is good (the probability is 25%), its expected stock return is 11%; if economy is on average (the probability is 50%), its expected stock return is 5%; if economy is bad (the probability is 25%), its expected return is 1%. Find the expected rate of return for the stock.

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