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Below is a table of probabilities and expected returns for 2 securities under 3 possible scenarios: Possible outcomes Probability Rate of Return Company G

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Below is a table of probabilities and expected returns for 2 securities under 3 possible scenarios: Possible outcomes Probability Rate of Return Company G Company H Bullish Trend 0.3 50% 25% Normal Trend 0.4 20% 15% Bearish Trend 0.3 (10)% 15%

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