What is the expected rate of return of this
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?
a) 3.75%
b) 4.25%
c) 5.30%
d) 6.75%
e) 7.95%
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