Question: Under normal conditions (74% probability), Financing Plan A will produce a $25,000 higher return than Plan B. Under tight money conditions (26% probability), Plan A

Under normal conditions (74% probability), Financing Plan A will produce a $25,000 higher return than Plan B. Under tight money conditions (26% probability), Plan A will produce $33,000 less than Plan B. What is the expected value of return?

Multiple Choice

$69,440
$9,120
$78,560
$9,920

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