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State of EconomyBoomBustProbability of Stateof Economy 6 5 3 5 Rate of Return if State OccursStock A 1 2 Stock B 0 6 Stock CL

State of EconomyBoomBustProbability of Stateof Economy

6535

Rate of Return if State OccursStock A

12

Stock B

06

Stock CL

05

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