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If the economy booms, RTF, Inc., stock is expected to return 9 percent. If the economy goes into a recessionary period, then RTF is expected

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If the economy booms, RTF, Inc., stock is expected to return 9 percent. If the economy goes into a recessionary period, then RTF is expected to only return 3 percent. The probability of a boom is 69 percent while the probability of a recession is 31 percent. What is the variance of the returns on RTF, Inc., stock? Multiple Choice 000293 000531 .000770

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