Question: What is the expected return on a security given the following information? State of Economy Probability of State Rate of Return Boom 0.5 8% Normal

What is the expected return on a security given the following information? State of Economy Probability of State Rate of Return Boom 0.5 8% Normal 0.4 11% Recession 0.1 -9% Group of answer choices 9.3% 7.5% 3%

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