An investor has purchased stock in a firm. the investor believes that , at the end of the year, there is
0.10 probability that the stock will show a $6,000 profit,
0.30 probability that the stock will show a $4000 profit and
0.60 probability that the stock will show a $2000 loss.
the expected profit is $600.
if the best profit increases by $1000 from $6000 to $7000, the expected profit?
a. will remain unchanged
b. will increase by $10
c. will increase by $100
d. will increase by a $1000
e. none of the above
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An investor has purchased stock in a firm. the investor believes that , at the end of the year, ther...
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