Matthew holds a two-stock portfolio that invests in the stocks of Bland Corp. & Big T Burgers and Fries Co. Bland Corp. has an allocation of 75% in Matthew's portfolio. The expected return for the next year will depend on the market condition. Conditions are listed below:
The expected rate of return on Bland's Corp over the next year:
1. 9.45
2. 7.00
3. 5.95
4.8.4