You own a stock that is expected to return 25.0 percent in a booming economy and generate a 3.0 percent return in a recession. The probability of an economic boom is 65 percent while there is a 35 percent probability of a recession. What is the expected return of this stock?

a. 14.00 percent

b. 11.00 percent

c. 17.30 percent

d. 15.20 percent (correct answer)

D is the right answer please show the procedure.