Business
Business, 20.08.2019 21:30, kiylabeasty7302

There is a 20 percent probability the economy will boom, 70 percent probability it will be normal, and a 10 percent probability of a recession. stock a will return 18 percent in a boom, 11 percent in a normal economy, and lose 10 percent in a recession. stock b will return 9 percent in boom, 7 percent in a normal economy, and 4 percent in a recession. stock c will return 6 percent in a boom, 9 percent in a normal economy, and 13 percent in a recession. what is the expected return on a portfolio which is invested 20 percent in stock a, 50 percent in stock b, and 30 percent in stock c

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