Question
An investor has a choice of 2 investment opportunities. The first investment yields a gain of...
An investor has a choice of 2 investment opportunities. The first investment yields a gain of $2900 with probability of 0.39, a gain of $1100 with probability of 0.28, and otherwise a loss of $1000. Investment #2 yields a gain of $2000 with probability of .2, $400 with a probability of .7, and a loss of $1000 with a probability of 0.1. What is the expected dollar gain or loss of investment #1? (please express your answer using 2 decimal places)
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Answer #2
answered by: anonymous
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