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Thank you for your help. You decide to invest in a portfolio consisting of 35 percent Stock A, 35 percent Stock B, and the remainder
Thank you for your help. You decide to invest in a portfolio consisting of 35 percent Stock A, 35 percent Stock B, and the remainder in Stock C. Based on the following information, what is the expected return of your portfollo? State of Economy Recession Normal Boom Probability of State of Economy .25 .45 .30 Return if State Occurs Stock A Stock B Stock C -14.45 - 1.78 -20.6 10.68 6.38 14.9% 24.29 13.6% 29.5% Multiple Choice 9.86% 8.72% 8.34% 10.76% 9.10%
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