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Business, 18.06.2020 18:57, sihamabdalla591
There is a 43% probability of an average economy and a 57% probability of an above average economy. You invest 38% of your money in Stock S and 62% of your money in Stock T. In an average economy the expected returns for Stock S and Stock T are 12% and 17%, respectively. In an above average economy the the expected returns for Stock S and T are 20% and 36%, respectively. What is the expected return for this two stock portfolio
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Answers: 3
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