Revenues 

Low (0.30) 
Medium (0.50) 
High (0.20) 

A 
120,000 
255,000 
390,000 
B 
130,000 
295,000 
460,000 
C 
100,000 
300,000 
480,000 
Determine the maximum expected payoff.
Group of answer choices
$276,000
$285,000
$241,500
$278,500
Revenues  
Low (0.30)  Medium (0.50)  High (0.20)  Expected Payoff  
A  120,000  255,000  390,000  241,500 
B  130,000  295,000  460,000  278,500 
C  100,000  300,000  480,000  276,000 
Expected payoff for A = (120000*0.30)+(255000*0.50)+(390000*0.20) = $241500.
Expected payoff for B = (130000*0.30)+(295000*0.50)+(460000*0.20) =$ 278500.
Expected payoff for A = (100000*0.30)+(300000*0.50)+(480000*0.20) = $276000.
Therefore, the maximum expected payoff is .$278,500. ( which is expected payoff for B)
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