Question: 4. (10 pts) Calculate the Expected Return. Based on the Following information, calculate the expected return. State Of Economy Probability of State of Economy Rate

4. (10 pts) Calculate the Expected Return. Based on the Following information, calculate the expected return.

State Of Economy

Probability of State of Economy

Rate of Return If State Occurs

Recession

.15

-.09

Boom

.85

.18

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