# Question: If the payoff of a risky investment has three possible

If the payoff of a risky investment has three possible outcomes ($1,000, $2,000, $5,000) with probabilities .60, .30, and .10 respectively, find the expected value.

a. $1,500

b. $2,300

c. $1,700

a. $1,500

b. $2,300

c. $1,700

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