Reed owns a stock that is expected to earn 8.7 percent in a booming economy, 9.2 percent in a normal economy, and 12.6 percent in a recessionary economy. Each economic state is equally likely to occur. What is the expected rate of return on this stock?

A) 10.38% B) 11.90% C) 10.17% D) 9.98% E) 11.01%