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Assume that an investment is forecasted to produce the following returns: a 10% probability of a $1400 return; a 50% probability of a $6,600 return;
Assume that an investment is forecasted to produce the following returns: a 10% probability of a $1400 return; a 50% probability of a $6,600 return; and a 40% probability of a $1500 return. What is the expected amount of return this investment will produce?
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Intermediate Financial Management
Authors: Brigham, Daves
10th Edition
978-1439051764, 1111783659, 9780324594690, 1439051763, 9781111783655, 324594690, 978-1111021573
