Question: Please determine following statement is true or false. Please add explanation. Economic State Probability Return Fast Growth 0. 1 50% Slow Growth 0.6 8% Recession

Please determine following statement is true or false. Please add explanation.

Economic State Probability Return Fast Growth 0. 1 50% Slow Growth 0.6 8% Recession 0.3 -10% Given the three economic states, their likelihoods and their potential returns. the expected return is 6.8%

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