The Triple L investment club is considering purchasing a certain stock. After considerable research, the club members determine that there is a 70% chance of making $10,000, a 10% chance of breaking even, and a 20% chance of losing $7,200. Find the expectation of this purchase. The expected value is $.
The Triple L investment club is considering purchasing a certain stock. After considerable research, the club members determine that there is a 70% chance of making $10,000, a 10% chance of breaking even, and a 20% chance of losing $7,200. Find the expectation of this purchase. The expected value is $.
Algebra & Trigonometry with Analytic Geometry
13th Edition
ISBN:9781133382119
Author:Swokowski
Publisher:Swokowski
Chapter10: Sequences, Series, And Probability
Section: Chapter Questions
Problem 35T
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