What is the firms expected rate of return

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Bloome Co.'s stock has a 20% chance of producing a 30% return, a 50% chance of producing a 12% return, and a 30% chance of producing a -18% return. What is the firm's expected rate of return?

6.60%

7.12%

8.55%

9.00%

9.50%

Reference no: EM13849736

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