An analyst is considering an investment in Treetops Inc. and has gathered the following information. What is the expected return for a share of the firm's stock? Probability of the State 20 40 40 Conditional Expected Return Treetops Inc 20% 10% 35% State of the Economy Recession Steady Boom O 14.00% O 5.00% O 8.33% O 625% QUESTION 3 Albert estimates that there are three possible return outcomes for a stock he is considering for purchase. He thinks that there is a 35% chance the economy will boom and his stock will return 25%, a 50% chance the economy will continue at its current pace and the stock will return 8%, and finally, that there is a 15% chance that the economy will falter and the expected return on his stock will be -10%. Given these probabilities and conditional expected returns, what is Albert's expected return on the stock he is considering for purchase? 08.00% 11.25% O 1525 14 75%