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Returns on shares of Lattice are predicted as follows: Lattice earns 0.10 return in recession...

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Finance

  1. Returns on shares of Lattice are predicted as follows: Lattice earns 0.10 return in recession and 0.20 return in a boom. An economist attributes a 0.40 chance of a recession and a 0.60 chance of a boom. Which of the following is closest to lattices variance? PLEASE SHOW YOUR WORK
  1. 0.0024
  2. 0.0056
  3. 0.0034
  4. 0.0083
  5. 0.0093

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