User Account

All Pages

Assesses the probability of various outcomes

Assignment Help Business Economics
Reference no: EM132009082

An investment company assesses the probability of various outcomes for the profitability of a project according to the following table:

Profit $ Probability

1m 0.4

2m 0.5

4m 0.1

The Expected Value of profit for this project is

A. $1.5m

B. $1.6m

C. $1.8m

D $2.0m  

Choose between A-D and explain how did you arrive at the answer?

Reference no: EM132009082

Questions Cloud

Discuss the current situation and clearly states the problem : Introduction with the problem-discusses the current situation and clearly states the problem or need for change
Lease-buying from personal viewpoint and banking standpoint : What are the steps taken in lease vs buying from a personal viewpoint and banking standpoint?
Price elasticity of demand for the dulles airport greenway : Assuming all changes in quantity were due to the change in price, what is the price elasticity of demand for the Dulles Airport Greenway?
Compare and contrast excel goal seek with excel solver : Compare and contrast excel goal seek with excel solver? Explain what they are designed to do and which one is the best? why?
Assesses the probability of various outcomes : An investment company assesses the probability of various outcomes for the profitability of a project according to the following table:
Cookie company wants to expand its retail operations : A cookie company wants to expand its retail operations. Assuming a required rate of return 7%, what is the NPV of each store?
Aw-based rate of return equation to determine : Use an AW-based rate of return equation to determine (a) the breakeven ROR and (b) which design is preferred at an MARR of 15% per year.
What is the new required price : Assuming all other factors are unchanged, what is the new required price?
Monopolist maximize revenue by setting a price : If the Marginal Cost for the monopolist is constant at $5 per unit of output, the monopolist would maximize revenue by setting a price.

Reviews

Write a Review

Business Economics Questions & Answers

  Economics assignment

This document contains various important questions and their appropriate answers in the subject field of Economics.

  Demand and supply curves

Economics is the study of the principles governing the allocation of scarce means among competing ends when the objective of the allocation is to maximize the attainment of the ends.

  Long-run perfectly competitive equilibrium for the firm

Evaluate Government intervene and correct this situation?(a) Explain the concept of a concentration ratio. A rise in the price of magarine Explain the impact of external costs and external benefits on resource allocation long-run perfectly c..

  Supply and demand diagrams

Explain each of the following using supply and demand diagrams,  With the use of a graph, explain how these two programs affect cigarette consumption and the price of cigarettes.

  Case study: fisher-price toys

The case study of the Fisher-Price Toys, Inc., a popular case in basic economics and management from the prestigious Harvard Business School.

  Draw the production possibility curve

Draw the production possibility curve and a. Define consumer surplus and producer surplus.

  Tax revenue

The Australian government administers two programs that affect the market for cigarettes

  Maximize total welfare

How many tickets to sell to maximize total welfare.

  Difference between the cv and the ev

The change in consumer surplus (?CS) is not "theoretically" justifiable like the CV and EV but it continues to be the most widely used measure of consumer welfare change. Explain how this can be reconciled

  Depict von neumann-morgenstern utility index u in a diagram

Depict the von Neumann-Morgenstern utility index u in a diagram

  What is the market solution

What is the market solution (market price and quantity) and What is the total surplus of the society under the market solution

  Calculate gross national product and net national product

Calculate gross national product and net national product

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +1-415-670-9521

Phone: +1-415-670-9521

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd