Question
You have estimated the following scenarios for a given stock. The possibility of boom state is 40%. The stock return will be 15% in boom
You have estimated the following scenarios for a given stock. The possibility of boom state is 40%. The stock return will be 15% in boom state. The stock return will be -5% in recession state. What is the expected return for the stock?
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Analysis for Financial Management
Authors: Robert Higgins
11th edition
77861787, 978-0077861780
