State of Economy Probability of State of Economy Portfolio Return

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Question: State of Economy Probability of State of Economy Portfolio Return

Consider the following information: State of Economy Probability of State of Economy Portfolio Return If State Occurs Recession .26 − .16 Boom .74 .21 Calculate the expected return. (Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.) Expected return %