What is the expected value of the boat lottery

Assignment Help Microeconomics
Reference no: EM132648868

You are an owner of a luxurious boat worth $100; that you use for recreation on the Potomac. Unfortunately, there is a 10% chance of a tornado in DC that would completely destroy it. Thus, your boat is in fact a lottery with payment (0;100)

- What is the expected value of the boat lottery?

Reference no: EM132648868

Questions Cloud

What are the pros or cons with working : In 2-3 paragraphs, Discuss how private corrections and public corrections policy may be in conflict. In your opinion, what are the pros or cons with working.
How the concept of price elasticity of demand is useful : Explain with an example how the concept of price elasticity of demand is useful for sellers to predict revenue levels after an increase in prices.
How enter so that transactions reflected credit or debit : How enter so that those transactions reflected credit or debit. $ 400.00 was paid from the checking account in the payment of basic services (utilities).
What are some of the issues prison staff face : What are some of the issues prison staff face in regards to aging, physical illness, and death among prisoners. What challenges do staff and administrators.
What is the expected value of the boat lottery : You are an owner of a luxurious boat worth $100; that you use for recreation on the Potomac. Unfortunately, there is a 10% chance of
What is meant by price effect-income effect : How does Slutsky's method of measuring income and substitution effect of a price change differ from Hick's method?
Analysis of shifts in demand for shoes : Haleigh omits the variable of housing construction in her analysis of shifts in demand for shoes. What is this an example of?
Calculate nanotech break-even point in sales dollars : Calculate NanoTech break-even point in sales dollars for the upcoming year assuming independent sales agents' commission rate remains unchanged at 18%.
What is the equation of the demand curve : Consider a competitive market with the following equations of demand (D) and supply (S). D0: P = 60 - ½Qd S0: P = 20 + ½Qs

Reviews

Write a Review

Microeconomics Questions & Answers

  Describe the competitive environment within the industry

Describe the competitive environment within the industry

  Compute the capitalized cost of the dam

A small dam was constructed for $2 million. The annual maintenance cost is $15,000. If interest is 5%, compute the capitalized cost of the dam.

  What items should be put on the agenda of a new round

What items should be put on the agenda of a new round of trade talks (and who wants these on the agenda) - the problems likely to be met in the discussions

  What is the maximum amount you would be willing to lend

What is the maximum amount you would be willing to lend someone if they promise to give you $1000 per month for 52 months and your MARR is 12%?

  How could the bowmans benefit from buying a home

When Mark and Valerie Bowman first saw the house, they didn't like it. However, it was a dark, rainy day. They viewed the house more favorably on their second.

  Against the removal of regulatory controls

Firms in industries that are subject to regulation often lobby against the removal of regulatory controls. Why might a firm be better off if regulations

  How many firm will there be?

without knowly the demand function can we say how much broccoli each firm produces in long run equilibrium? if so under which assumption. if not explain why?

  What price and quantity will monopolist produce at if

suppose that a firm has a monopoly on a good with the following demand schedulequantity price0 101 92 83 74 65 56 47 38

  Computing the opportunity cost of juanita time

Complete the following table by computing the opportunity cost of Juanita's time and the total cost of shopping at each location.

  Apply the rule of 70 to solve the following problem real

apply the rule of 70 to solve the following problem. real gdp per person in mexico in 2005 was about 12000 per person

  Discuss different concepts presented in the articles

Discuss at least 3 different concepts presented in the articles. As a manager, how would you apply the three (3) concepts you identified in a production.

  What output changes would you recommend

The marginal revenue is $3.00. What is the short-run and long-run condition for the monopolist and what output changes would you recommend?

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!

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