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MC Qu. 2 Expected Return Compute the expected return given these three ec... Expected Return Compute the expected return given these three economic states, their

MC Qu. 2 Expected Return Compute the expected return given these three ec...

Expected ReturnCompute the expected return given these three economic states, their likelihoods, and the potential returns:

Economic StateProbabilityReturnFast Growth.226%Slow Growth.711%Recession.1-26%

12.3%

11.0%

10.3%

15.5%

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