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Taggart Inc.'s stock has a 50% probability of producing a 25% return, a 30% probability of producing a 10% return, and a 20% probability of

  1. Taggart Inc.'s stock has a 50% probability of producing a 25% return, a 30% probability of producing a 10% return, and a 20% probability of producing a -28% return. What is the firm's expected rate of return?

a. 9.41%

b. 9.65%

c. 9.90%

d. 10.15%

e. 10.40%

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