A shipping company is transporting a high$-$value load worth $$750,000$ from Dallas to Houston. The load has a $7\%$ chance of being delayed due to weather conditions. If the load is delayed, the company will lose $$20,000$ in revenue.

What is the expected cost of risk for losing the revenue?

Hints:

Expected Value $=$ Probability of Risk x Revenue Value

$$1,400$

$20000$

$770,000$

$751,400$