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Calculate the expected return for the following stock? State (i) Probability (pi) Return (Ri) ------------------------------------------------------ Normal .60 .25 Recession .30 .05 Depression ?? .35 A.
Calculate the expected return for the following stock?
State (i) Probability (pi) Return (Ri)
------------------------------------------------------
Normal .60 .25
Recession .30 .05
Depression ?? .35
A. 8%
B. 9%
C. 11%
D. 13%
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