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You are considering to invest in the following stock: which is expected to earn 10% in a booming economy, 1% in a normal economy and
You are considering to invest in the following stock: which is expected to earn 10% in a booming economy, 1% in a normal economy and -9% in a recssion. The probability of a boom is 23%, and probability of a recession is 10%. What is the expected rate of return on this stock?(Round answers to two decimals without %, for example, for answer 0.43%, enter 0.43 only)
You are considering to invest in the following stock: which is expected to earn 10% in a booming economy, 1% in a normal economy and -9% in a recssion. The probability of a boom is 23%, and probability of a recession is 10%. What is the expected rate of return on this stock?(Round answers to two decimals without %, for example, for answer 0.43%, enter 0.43 only)
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