Conglomerated Industries has four divisions, each worth about one quarter of the firm's market value. The following table summarizes the possible returns on the divisions as well as on the market portfolio.

$\backslash$table$[[,,$Division,Internal,Rates of$,$Return,$],[$State of the Economy,Probability,A$,$B$,$C$,$D$,$Market Portfolio$],[$Recession$,\mathrm{.}20,6\%,-11\%,-1\%,-2x,-2\%$