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Write the following in math notation. 1 . The retum on a stock would be 1 2 % , 4 5 % , or 3

Write the following in math notation.
1. The retum on a stock would be 12%,45%, or 33%, given that there is a recession, boom economy, and normal economic growth, respectively, There is a 15%,35%, and 50% probability of a recession, boom economy, and normal economy, respectively.
a. What is the probability of a boom economy?
b. What return would an investor expect for thils stock during a boom economy?
2. John is watching an old game show on television in which the contestant chooses a prize behind curtaln one or curtain two. Behind curteain one is a gas gitit worth $150 and behlnd the other is a round-the-world trip worth $7,200. There is a 75% probabllity of choosing curtaln one.
a. What was the general equation that resulted in the following specific equation: 25=1.0-75
b. What was the general equation that resultred in the following spedific equation: 1912.50=.25(7200)+.75(150)
3. Firm Xs common stock has an expected return of 15 and a standard deviation of 0.20. Firm Y's common stock has an expected return of 0.18 and a standard deviation of 24. The correlation coeficieient between the two firms is ,60. You have a portfollo that has $3000 invested in Firm x and $7500 in Firm Y.
a. What was the general equation that resulted in the following specific equation: 286=30003000+7500
b. What was the general equation that resulted in the following specific equation: .171=.714(.18)+.286(.15)
c. What was the general equation that resulted in the following specilic equation:
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