For an investment in a stock, the probability of the return being -10.0% is 0.3, 10.0% is 0.4, and 30.0% is 0.3. Given the probability distributions, what is the expected rate of return for the investment?
A) 10.0%
B) 9.5%
C) 15.0%
D) 12.5%
E) 13.0%
Correct Answer:
Verified
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