Question: Under normal conditions (78% probability), Financing Plan A will produce a $27,000 higher return than Plan B. Under tight money conditions (22% probability), Plan A

Under normal conditions (78% probability), Financing Plan A will produce a $27,000 higher return than Plan B. Under tight money conditions (22% probability), Plan A will produce $36,000 less than Plan B. What is the expected value of return?

Multiple Choice

$104,320
$12,340
$13,140
$91,980

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