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Use the above distribution to compute your expected return of the stock market. (Do not round intermediate calculations. Round your final answers to two decimal

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Use the above distribution to compute your expected return of the stock market. (Do not round intermediate calculations. Round your final answers to two decimal places.) Anotheranalystha,thoughsheagreeYoultionsregardingtheprobablitiesofBoomandRecessionstates, Suppose your expectations regarding the stock market next year can be modeled by the following distribution: Use the above distribution to compute your expected return of the stock markeL. (Do not round intermediate calculations. Round your final answers to two decimal places.) Another analyst has different opinions regaraing the probabibies of Boom and Recession states, though she agrees with you on all the other numbers in the table. You know that her expected stock market return is only 10%. What is the Boom probablity she has in mind? Boom Probabiby= (Hint You will need f neer the calculation in step 1 and solve an equation if necessary. Remember that all the probablifies in a diatnoution must sum up to 1.1.)

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