If the economy is in recession the expected return of that, Financial Management

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If the economy is in recession the expected return of that

Assume the economy can either be booming or in recession. The probability of a boom is 69%. If the economy is booming, a certain stock has an expected return of 16%. If the economy is in recession, the expected return of that same stock is 4%. What is the long term expected return of the stock?

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Financial Management: If the economy is in recession the expected return of that

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Financial Management: If the economy is in recession the expected return of that

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