Compute the Expected Return Given These Three Economic States, Their

question 105

Multiple Choice

Compute the expected return given these three economic states, their likelihoods, and the potential returns:

• A) 3.5%
• B) 7.0%
• C) 7.5%
• D) 12.5%

---

Definitions:

Raised an Army

The act of recruiting, training, and organizing a military force for the purposes of defense or combat in a conflict or war.

Demoralized

Refers to a state in which an individual or group feels a loss of courage, confidence, or morale.

George Washington

The first President of the United States (1789–1797), commander of the Continental Army during the American Revolutionary War, and a Founding Father of the United States.

Early in the War

A phase referring to the initial stages of a conflict when strategies are forming, alliances may still be fluid, and the full scale and duration of the war are not yet clear.