Compute the Expected Return Given These Three Economic States, Their

Multiple Choice

Compute the expected return given these three economic states, their likelihoods, and the potential returns:
$\begin{array} { c c r } \text { Eccormic State } &\text { Probability } & \text { Retum } \\ \text { Fast Growth }&0.40 & 25 \% \\\text { slow Growth }& 0.55 & 12 \% \\\text { recession }& 0.05 & - 50 \% \end{array}$

A) ?4.3 percent
B) 14.1 percent
C) 19.1 percent
D) 29.0 percent