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Security Returns if State Occurs State of Economy State of Economy Bust Boom Probability of 0.20 0.80 Roll -13% 30 Ross 13% Calculate the expected

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Security Returns if State Occurs State of Economy State of Economy Bust Boom Probability of 0.20 0.80 Roll -13% 30 Ross 13% Calculate the expected returns for Roll and Ross by filling in the following table: (A negative value should be indicated by a minus sign. Do not round intermediate calculations. Calculate the product using the decimal value of the probability and the percentage value of the return. Input all your answers as a percent rounded to 2 decimal places.) Roll Ross Probability of State of Economy State of Economy Return if State Occurs Return if State Occurs Product Product (131% 30 % E(R)- 13% 6% E(R)-s Bust 0.20 Boom 0.80 21.40 7.40

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