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b- what is the expected return of corporate bond investment ? c- what is the expected returm of Government bond investment ? probability of a
b- what is the expected return of corporate bond investment ?
c- what is the expected returm of Government bond investment ?
probability of a boom economy is 12%, the probability of a stable growth economy is 18%, the probability of a stagnant economy is 49%, and the probability of a recession is 21%. Estimate the expected returns on the following individual investments for the coming year Stable -14% Stock Corporate bond Government bond 25% 10% 9% 11% 5% 7% 4% 5% 3% Hint: Make sure to round all intermediate calculations to at least seven (7) decimal places. The input instructions, phrases in parenthesis after each answer box, only apply for the answers you will type What is the expected return of the stock investment? % (Round to two decimal places.)Step by Step Solution
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