Assume the Economy Has an 18 Percent Chance of Booming

Assume the economy has an 18 percent chance of booming, a 3 percent chance of being recessionary, and being normal the remainder of the time.A stock is expected to return 16.8 percent in a boom, 12.9 percent in a normal economy, and -4.5 percent in a recession.What is the expected rate of return on this stock?

A) 7.98 percent
B) 8.63 percent
C) 9.17 percent
D) 13.08 percent
E) 10.68 percent