Question: Under normal conditions (75% probability), Financing Plan A will produce a $30,000 higher return than Plan B. Under tight money conditions (25% probability), Plan A
Under normal conditions (75% probability), Financing Plan A will produce a $30,000 higher return than Plan B. Under tight money conditions (25% probability), Plan A will produce $35,000 less than Plan B. What is the expected value of return?
A). $109,200
B). $13,750
C). $12,950
D). $96,250
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