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We estimate that there will be two states of the economy boom and bust in the next period with probability of 30% and 70%, respectively.

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We estimate that there will be two states of the economy boom and bust in the next period with probability of 30% and 70%, respectively. We also estimate that the return on Stock A will be 50% in the boom state and 10% in the bus state. What the expected return on Stock A? Multiple Choice o

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