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Based on the weather scenarios shown below, what is the stocks annual expected return? Scenario Probability Return Cold 30% 14% Normal 55% 11% Hot 15%

Based on the weather scenarios shown below, what is the stocks annual expected return?

Scenario

Probability

Return

Cold

30%

14%

Normal

55%

11%

Hot

15%

-8%

Question 19 options:

1) 8.7%
2) 9.1%
3) 9.5%
4) 9.3%
5) 8.9%

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