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Nunu: Preston Inc.'s stock has a 25% chance of producing a 30% return, a 50% chance of producing a 11% return, and a 25% chance

Nunu:

Preston Inc.'s stock has a 25% chance of producing a 30% return, a 50% chance of producing a 11% return, and a 25% chance of producing a -22% return. What is the firm's expected rate of return?

Group of answer choices

7.50%

6.50%

11.00%

8.50%

10.50%

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