Based on the following information, calculate the expected return. State of Economy.... Probability of State of Economy....

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Based on the following information, calculate the expected return.

State of Economy.... Probability of State of Economy.... Rate of Return if State Occurs

Recession................................................. .20...... ...............................-.09

Normal.................................................... .50....................................... .11

Boom...................................................... .30....................................... .30

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Essentials of Corporate Finance

ISBN: 978-0078034756

8th edition

Authors: Stephen Ross, Randolph Westerfield, Bradford Jordan

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