Answer:
13.12%
Explanation:
The computation of the expected return is shown below:
= (Expected return of the recession × weightage of recession) + (expected return of the normal economy × weightage of normal economy) + (expected return of the boom × weightage of boom)
= (-0.08 × 0.21) + (0.16 × 0.55) + (0.25 × 0.24)
= - 0.0168 + 0.088 + 0.06
= 13.12%
The answer to the given question is "INTENSIVE" distribution.
When creative pen company designed a new, ergonomically-friendly pen, they wanted to, literally, get in the hands of as many consumers as possible. The creative pen will likely choose an "INTENSIVE" distribution.
