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6.11 The following table summarizes investment outcomes and corresponding probabilities for a particular oil well: x = the outcome in $ -$40,000 (no oil)
6.11 The following table summarizes investment outcomes and corresponding probabilities for a particular oil well: x = the outcome in $ -$40,000 (no oil) p(x) 10,000 (some oil) .25 7bb .05 70,000 (much oil) a Graph p(x); that is, graph the probability distribu- tion of x. b Find the expected monetary outcome. Mark this C value on your graph of part a. Then interpret this value. Calculate the standard deviation of x.
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