Answer:
The first reason why people are willing to pay so much less or lower than the expected value is due to the uncertainty of flipping a heads. Heads may never be flipped.
The Second reason they are willing to pay so much less or lower is because the expected value will rarely reach over $10 because player would have to make it to the 5th flip in order to recoup their investment in which most of the players are unwilling and ready to take that risk.
Explanation:
Saint Petersburg Gambles
The first reason why people are willing to pay so much less or lower than the expected value is due to the uncertainty of flipping a heads. Heads may never be flipped.
The Second reason they are willing to pay so much less or lower is because the expected value will rarely reach over $10 because player would have to make it to the 5th flip in order to recoup their investment in which most of the players are unwilling and ready to take that risk.
Supply curve shows when quantity increases the price also increases and vice versa
Answer:
$29,750
Explanation:
Given that
Borrowed amount = $350,000
Interest rate = 8.5%
The computation of interest expense is shown below:-
Interest expense in the first annual payment = Borrowed amount × Interest rate
= $350,000 × 8.5%
= $29,750
Therefore, for computing the interest expense in the first annual payment we simply multiply borrowed amount with interest rate.
There are 100 people and 4 answers. The minimum people for each answer is 10. You can distribute the minimum people to make it easy.
Answer 1. 10 people
Answer 2. 10 people
Answer 3. 10 people
Answer 4. 10 people
There are still 60 people that are not assigned, so you take this number and add it to the minimum.
60 + 10 = 70
Answer: The maximum number of customers giving any one response is 70 people.
