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Question: an anaryst nas preaictea tne toiiowing returns tor stock a...

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An anaryst nas preaictea tne Toiiowing returns tor Stock A ana StocK tb in three possioie states or the economy. Boom Normal Recession 0.25 0.49 0.24 0.27 0.16 0.20 0.10 0.17 a. What is the probability of a recession? (Round your answer to 2 decimal places) Answer is complete and correct. Probability 0.26 b. Calculate the expected return for Stock A and Stock B. (Round your answers to 2 decimal places.) Answer is complete but not entirely correct. Expected Stocks A Stocks B Return 0.160% 0.21 0% c. Calculate the expected return for a portfolio that is invested 42% in A and 58% in B. (Round your answer to 2 decimal places.) & Answer is complete but not entirely correct. Expected return 0190%
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