What Is the Expected Return on This Stock Given the Following

Multiple Choice

What is the expected return on this stock given the following information?
$\begin{array}{lcr}\text { State of the Economy } & \text { Probability } & E(R) \\\text { Boom } & .4 & 15\% \\\text { Recession } & .6 & -20\%\end{array}$

A) 8.07%
B) 7.69%
C) 6.00%
D) 5.70%
E) 5.20%