Given the expected returns and probabilities of various states of the world in this table,what is the expected return for Dancine Company? Dancine Company $$\begin{array} { | l | c | c | }
\hline \text { State of the Economy } & \text { Probability of State } & \text { Return on State } \
\hline \text { Boom } & .30 & 18 \% \
\hline \text { Steady } & .55 & 10 \% \
\hline \text { Recession } & .15 & - 5 \% \
\hline
\end{array}$$
A)9.45%
B)12.40%
C)10.15%
D)-0.75%

Question

Given the expected returns and probabilities of various states of the world in this table,what is the expected return for Dancine Company? Dancine Company $$\begin{array} { | l | c | c | } 
\hline \text { State of the Economy } & \text { Probability of State } & \text { Return on State } \
\hline \text { Boom } & .30 & 18 \% \
\hline \text { Steady } & .55 & 10 \% \
\hline \text { Recession } & .15 & - 5 \% \
\hline
\end{array}$$
A)9.45%
B)12.40%
C)10.15%
D)-0.75%

Quizplus · Accepted Answer

The Answer of Given the expected returns and probabilities of various states of the world in this table,what is the expected return for Dancine Company? Dancine Company $$\begin{array} { | l | c | c | } 
\hline \text { State of the Economy } & \text { Probability of State } & \text { Return on State } \
\hline \text { Boom } & .30 & 18 \% \
\hline \text { Steady } & .55 & 10 \% \
\hline \text { Recession } & .15 & - 5 \% \
\hline
\end{array}$$
A)9.45%
B)12.40%
C)10.15%
D)-0.75%

Given the Expected Returns and Probabilities of Various States of the World