An asset has a 15 chance of a -10 return a 25 chance of a 0


Question: An asset has a 15% chance of a -10% return, a 25% chance of a 0% return, a 25% chance of a 5% returns, and a 35% chance of a 20% return. What is the expected rate of return of this asset?

3.75%
4.25%
5.30%
6.75%
7.95%

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Finance Basics: An asset has a 15 chance of a -10 return a 25 chance of a 0
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