Question: Outcome Probability Return Boom 60% 27.7% Normal 25% 19.5% Recession 10% 13.6% Depression 5% 9.5% What is the arithmetic expected return on this asset?

Outcome Probability Return
Boom 60% 27.7%
Normal 25% 19.5%
Recession 10% 13.6%
Depression 5% 9.5%

What is the arithmetic expected return on this asset?

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