Question: State Probability Return on A Return on B Boom 0.6 0.15 0.08 Bust 0.4 0.05 0.20 What is the expected return on a portfolio that

State Probability Return on A Return on B Boom 0.6 0.15 0.08 Bust 0.4 0.05 0.20 What is the expected return on a portfolio that is 40% invested in A and 60% invested in B? Multiple Choice 13.8% 12.8% 10% 12.1% 11%

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