What is your expected rate of return on the stock, Financial Accounting

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What is your expected rate of return on the stock

Problem

You recently purchased a stock that is expected to earn 15 percent in a booming economy, 7 percent in a normal economy, and lose 2 percent in a recessionary economy. The probability of a booming economy is 16 percent while the probability of a normal economy is 70 percent. What is your expected rate of return on this stock?

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