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Let X be a random variable and the payoff of an investment. Suppose the investment has a fee of 10 so that the net payoff is (X-10). The variance of the net payoff, i.e., V( X - 10) must be: OA. 0. OB. 10. C. 100. O D. none of the above.

Let X be a random variable and the payoff of an investment. Suppose the investment has a fee of 10 so that the net payoff is (X-10). The variance of the net payoff, i.e., V( X - 10) must be: OA. 0. OB. 10. C. 100. O D. none of the above.

ENGR.ECONOMIC ANALYSIS
ENGR.ECONOMIC ANALYSIS
14th Edition
ISBN:9780190931919
Author:NEWNAN
Publisher:NEWNAN
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
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Let X be a random variable and the payoff of an investment. Suppose the investment has a fee of 10 so that the net payoff is (X-10). The variance of the net payoff, i.e., V( X - 10) must be: OA. 0. Ов. 10. Oc. 10 O D. none of the above. Click Save and Submit to save and submit. Click Save All Answers to save all answers. esc 20 F3 D00 F1 F2 000 F4 F5 ! $ % 1 2 4 Q W E tab 5 # 3
Transcribed Image Text:Let X be a random variable and the payoff of an investment. Suppose the investment has a fee of 10 so that the net payoff is (X-10). The variance of the net payoff, i.e., V( X - 10) must be: OA. 0. Ов. 10. Oc. 10 O D. none of the above. Click Save and Submit to save and submit. Click Save All Answers to save all answers. esc 20 F3 D00 F1 F2 000 F4 F5 ! $ % 1 2 4 Q W E tab 5 # 3
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