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1. Scenario 1: Suppose an individual is considering an investment in which there are exactly three possible outcomes, whose probabilities and payoffs are given below:

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1. Scenario 1: Suppose an individual is considering an investment in which there are exactly three possible outcomes, whose probabilities and payoffs are given below: Probabilit m $100 50 \" The expected value of the investment is $25. Although all the information is correct, infonnation is missing. (i) Refer to Scenario 1. What is the probability of outcome B? a. 0 b. 0.5 c. 0.5 d. 0.4 e. 0.2 (ii)Refer to Scenario 1. What is the payoff of outcome C? a. -150 b. 0 c. 25 d. 100 e. 150 (iii)Refer to Scenario 1. What is the deviation of outcome A? a. 30 b. 50 c. 75 d. 100

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