You plan to open a new Devil's Pizza Restaurant, and found these stats for similar restaurants:...

 

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You plan to open a new Devil's Pizza Restaurant, and found these stats for similar restaurants: Using these as probabilities for your new restaurant's profit, what is the Expected Value? Hint: Let the Random Variable X= 'possible profit in thousands of dollars. Expected Value of X: Ex-P(x)=(-40,000)- P(x=-40,000) + Percent 10% 35% 45% 10% Year's Earnings $40,000 loss $0 $40,000 profit $200,000 profit You plan to open a new Devil's Pizza Restaurant, and found these stats for similar restaurants: Using these as probabilities for your new restaurant's profit, what is the Expected Value? Hint: Let the Random Variable X= 'possible profit in thousands of dollars. Expected Value of X: Ex-P(x)=(-40,000)- P(x=-40,000) + Percent 10% 35% 45% 10% Year's Earnings $40,000 loss $0 $40,000 profit $200,000 profit

Answer rating: 100% (QA)

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