Question: 7) Compute the expected return given these three economic states, their likelihoods, and the potential returns: (Round your answer to 2 decimal places.) Economic State

7) Compute the expected return given these three economic states, their likelihoods, and the potential returns: (Round your answer to 2 decimal places.)

Economic State Probability Return

Fast growth 0.23 47 %

Slow growth 0.32 24

Recession 0.45 37

Expected return= ? %

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