Question: Given the following probability distribution, what is the expected return of security i? State PR r1 1 0.2 10% 2 0.6 15% 3 0.2 35%
Given the following probability distribution, what is the expected return of security i?
| State | PR | r1 | |
| 1 | 0.2 | 10% | |
| 2 | 0.6 | 15% | |
| 3 | 0.2 | 35% |
10%
12%
15%
18%
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