Conditional Probabilityhard
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A mutual fund allocation: 40% stocks (S), 35% bonds (B), 25% cash (C). Returns exceed expectations: P(RS)=0.6P(R|S) = 0.6, P(RB)=0.4P(R|B) = 0.4, P(RC)=0.2P(R|C) = 0.2. If returns exceed expectations, what is the probability the portfolio is mostly stocks?