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A peach farmer must decide how many peaches to harvest for the world peach fair. She knows that there is a 25 percent chance that
A peach farmer must decide how many peaches to harvest for the world peach fair. She knows that there is a 25 percent chance that the world price will be $3, a 50 percent chance that it will be $3.50, and a 25 percent chance that it will be $4. Her cost function is C(Q) = 0.05Q2. The expected profit-maximizing quantity is
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