If the economy booms franks welding supply stock is


If the economy booms, Frank's Welding Supply stock is expected to return 19%. If the economy falls into a recession, the stock's return is projected at 5%. The probability of a boom is 80% while the probability of a recession is 20%. What is the variance of the returns on this stock?

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Financial Management: If the economy booms franks welding supply stock is
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