Question: 12.12 When a provision is needed that involves a number of outcomes, the provision is calculated using the expected value of expenditure. The expected value

12.12 When a provision is needed that involves a number of outcomes, the provision is calculated using the expected value of expenditure. The expected value of expenditure is the total expenditure of:

A Each possible outcome B

Each possible outcome weighted according to the probability of each outcome happening C

Each possible outcome divided by the number of outcomes D

Each possible outcome multiplied by the number of outcomes

(2 marks)

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