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You have a portfolio which is comprised of 70% of Stock A and 30% of Stock B. What is the expected rate of return on

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You have a portfolio which is comprised of 70% of Stock A and 30% of Stock B. What is the expected rate of return on this portfolio? Rate of Return if State Occurs 13 Probability of State of the Economy State of Economy Boom .25 Normal .65 Recession . 10 Stock A 24% 12% -36% Stock B 15% 12% 8% Multiple Choice 1113% 12.80%

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