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State Boom Normal Bust Probability .3 .61 Returns on Al 12% 8% 4% Return on B -2% 2% 6% .1 What is the expected return

State Boom Normal Bust Probability .3 .61 Returns on Al 12% 8% 4% Return on B -2% 2% 6% .1 What is the expected return for asset A? Multiple Choice 4.0% 9.3% 8.0% Multiple Choice O 4.0% 9.3% O 8.0% 8.8% 1.2%

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