Question: Based on the following information calculate the expected return for stock X. (Enter percentages as decimals and round to 4 decimals) State Prob State Stock

Based on the following information calculate the expected return for stock X. (Enter percentages as decimals and round to 4 decimals)

State Prob State Stock X Stock Y
Boom 20% 15% 3%
Normal 40% 10% 10%
Recession 30% -3% 15%
Depression 10% -10% -2%

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