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There are only two possible states of the economy. State 1 has a 79.00% chance of occurring. In State 1, Asset A returns 5.00% and

There are only two possible states of the economy. State 1 has a 79.00% chance of occurring. In State 1, Asset A returns 5.00% and Asset B returns 8.00%. In State 2, Asset A returns -3.00% and Asset B returns -6.00%. What is the expected return of Asset A? Group of answer choices

3.32%

-1.32%

5.06%

1.00%

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