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Taggart Inc.'s stock has a 50% chance of producing a 32% return, a 30% chance of producing a 15% return, and a 20% chance of

Taggart Inc.'s stock has a 50% chance of producing a 32% return, a 30% chance of producing a 15% return, and a 20% chance of producing a -24% return. What is the firm's expected rate of return?

a.

25.30%

b.

15.70%

c.

12.01%

d.

15.86%

e.

15.40%

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