1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
pogonyaev
3 years ago
11

You are considering two investment opportunities. For investment A there is a 25% chance that you lose $20,000, a 50% chance tha

t you break even, and a 25% chance that you make $80,000. For investment B there is a 30% chance that you lose $50,000, a 50% chance that you break even, and a 20% chance that you make $180,000. Based on the expected value of each, which investment should you make?
Mathematics
2 answers:
Tomtit [17]3 years ago
5 0

a 15000 !!! i just took the question

b 21000

Alex Ar [27]3 years ago
4 0

Answer:

you should make investment B

Step-by-step explanation:

The expected value of a discrete variable is calculated as:

E(x)=x_1P(x_1)+x_2P(x_2)+ ... + x_nP(x_n)

Where x_1, x_2, ... x_n are the possible values for the variable and  P(x_1), P(x_2), ... P(x_n) are their respective probabilities.

Then, the expected value for investment A is:

E(A) = -20,000(0.25) + 0(0.5) + 80,000(0.25) = $15,000

Because, you can lose $20,000 with a probability of 0.25, you can break even with a probability of 0.5 or you can win $80,000 with a probability of 0.25.

At the same way, the expected value for investment B is:

E(B) = -50,000(0.3) + 0(0.5) + 180,000(0.2) = $21,000

Then, you should make investment B because the expected value for investment B is bigger than the expected value for investment A.

You might be interested in
Thirty children from an after-school club went to the matinee. This is 20% of the children in the club. How many children are in
Setler [38]

Answer:

<h2>C)150 </h2>

Step-by-step explanation:

20%=30

x by 5 to get 100%

100%=150

8 0
2 years ago
Read 2 more answers
Which table represents a linear function?
kykrilka [37]

Answer:

Option 3 (C)

Step-by-step explanation:

It is the only one that changes the same amount every time ( times 2 )

7 0
3 years ago
Hot dogs are sold in packages of 8, and hot dog buns are sold in packages of 12. What's the smallest number of each that could b
PIT_PIT [208]

24 is the answer         8x3 = 24   12x2 = 24           8*3 = 12*2  

7 0
3 years ago
Can someone please help me out? It would really make me happier if you did.
asambeis [7]

Answer:

B) 8 and 24.

Step-by-step explanation:

Just by looking at the answer choices, since one number must be three times the other, we can determine that the correct answer is B.

Regardless, let's work this out mathematically. Let the first number be <em>a</em> and the second number be <em>b</em>.

Their difference is 16. Hence:

a-b=16

The first number is three times the second number. So:

a=3b

Substitute:

3b-b=16

Solve for <em>b</em>. Subtract:

2b=16

And divide both sides by two:

b=8

So, the second number is 8.

And since the first number is three times the second, the first number is 24.

Our answer is B as expected.

5 0
3 years ago
True or false: “If a positive integer is divisible by both 2 and 3, then it is divisible by 12.”
Julli [10]
False because 6 is divisible by 2 and 3, but not 12
4 0
2 years ago
Other questions:
  • Please help me :( thank you :( very grateful if you answer :0 pic down below
    6·1 answer
  • Can someone plz help me
    13·2 answers
  • (33)(1/9 2−6+2) solve
    10·1 answer
  • Nail this puzzle down
    14·2 answers
  • 2 more than the product of 4 times m Express algebraically
    13·1 answer
  • Emma pays $108 every six weeks for tennis lessons. What is the price per year for tennis lessons?
    9·2 answers
  • Which fraction has the greatest value?​
    6·2 answers
  • 8. Find the values of angles x, y,
    12·2 answers
  • How many 5 bills seth has
    12·2 answers
  • Help me with this<br>Please Help​
    7·2 answers
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!