A construction company plans to invest in a building project. There is a 25% chance that the company will lose $40,000, a 35% ch

Question

3 years ago

8

A construction company plans to invest in a building project. There is a 25% chance that the company will lose $40,000, a 35% ch

ance of a break even, and a 40% chance of a $30,000 profit. Based on this information, what should the company do?
SHOW YOUR WORK!!

A) The expected value is $2,000, so the company should proceed with the project.

B) The expected value is $22,000, so the company should proceed with the project.

C) The expected value is - $2,000, so the company should not proceed with the project.

D) The expected value is $-22,000, so the company should not proceed with the project.

Mathematics

1 answer:

strojnjashka [21] · Answer 1 · 2022-08-15T08:21:43+03:00

strojnjashka [21]3 years ago

4 0

Thank you for posting your question here at brainly. I hope the answer will help you. Feel free to ask more questions.

<span>C) The expected value is - $2,000, so the company should not proceed with the project.</span>