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Stocks J and K have the following distributions of returns: Economic State Probability Stock Stock K Poor 0.2 -15% -20% Fair 0.3 8% 3% Good

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Stocks J and K have the following distributions of returns: Economic State Probability Stock Stock K Poor 0.2 -15% -20% Fair 0.3 8% 3% Good 0.3 10% 20% Boom 0.2 30% 40% Find the expected return of a portfolio which is 70% J and 30% K

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