MICROECONOMICS IN MODULES
5th Edition
ISBN: 9781319245382
Author: KRUGMAN
Publisher: MAC HIGHER
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Question
Chapter 20, Problem 1P
To determine
Expected value of investment/profit
Concept Introduction:
Expected Value- The aggregate of the products of the dollar value associated with each outcome and its probability of occurrence is the expected value of the economic choices. It is a predictive value influencing economic decisions. This is also called the Mathematical Expectation or the EV of an economic experiment.
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