Determining Expected Return REX(RPi R is the expected return for the asset, Ri is the return for the ith possibility Pi is the probability of that return occurring, n is the total number of possibilities 5-65-6 Determining Expected Return R = ( Ri )( Pi ) R is the expected return for the asset, Ri is the return for the ith possibility, Pi is the probability of that return occurring, n is the total number of possibilities. n i=1