Question 1

"Compute the Expected Return assuming the four possible economic scenarios noted, each scenario's likelihood, and the estimated returns for each scenario: (Fast Growth 5.72% probability, 34.10% expected return); (Slow Growth 63.80% probability, 20.40% expected return); (Recession 26.80% probability, -19.00% expected return); and (Depression 3.68% probability, -43.60% expected return)."

		7.88%
		8.27%
		-2.03%
		-8.10%
		9.10%
		7.52%
		8.68%