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Based on the following information, calculate the expected return for Stock A. State of Economy Prob. of State Stock A Return Stock B Return Recession

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Based on the following information, calculate the expected return for Stock A. State of Economy Prob. of State Stock A Return Stock B Return Recession .20 5% -17% Normal .55 8% 12% Boom .25 13% 29% 9.55% 10.45% 8.65% O 8.33% 8.70%

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