Market Segment Stock Market Returns. Investment advisors estimated the stock market returns for four market segments: computers, financial, manufacturing, and pharmaceuticals. Annual return projections vary depending on whether the general economic conditions are improving, stable, or declining. The anticipated annual return percentages for each market segment under each economic condition are as follows:Market Segment Stock Market Returns. Investment advisors estimated the stock market returns

for four market segments: computers, financial, manufacturing, and pharmaceuticals. Annual

return projections vary depending on whether the general economic conditions are improving,

stable, or declining. The anticipated annual return percentages for each market segment under

each economic condition are as follows:

a$.$ Assume that an individual investor wants to select one market segment for a new investment.

A forecast shows improving to declining economic conditions with the following probabilities:

improving $(0\mathrm{.}2),$ stable $(0\mathrm{.}5),$ and declining $(0\mathrm{.}3).$ What is the preferred market segment for

the investor, and what is the expected return percentage?

b$.$ At a later date, a revised forecast shows a potential for an improvement in economic

conditions. New probabilities are as follows: improving $(0\mathrm{.}4),$ stable $(0\mathrm{.}4),$ and declining $(0\mathrm{.}2).$

What is the preferred market segment for the investor based on these new probabilities?

What is the expected return percentage?