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Find the annual return in the given scenario

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Reference no: EM131637869

Question: With the probabilities of recession, stagnation and boom equal to 1/2, 1/4, 1/4 and the predicted annual returns in the first two of these scenarios at -5% and 6%, respectively, find the annual return in the remaining scenario if the expected annual return is known to be 6%.

Reference no: EM131637869

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