Multiple Choice
The stock for L-Corp expects a 12% return in a down economy,15% in a normal economy,and 20% in a booming economy.What is the expected return if there is a 20% chance for a down economy and a 65% chance for a normal economy?
A) 13.05%
B) 15.00%
C) 15.15%
D) 15.55%
E) 14.25%
Correct Answer:
Verified
Correct Answer:
Verified
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