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Assume you are faced with the following decision tree of either investing or not investing. If you invest, you have a 0.4 probability of gaining

Assume you are faced with the following decision tree of either investing or not investing. If you invest, you have a 0.4 probability of gaining $100,000 and a 0.6 probability of losing $40,000.

Calculate the expected value (EV) of investing.

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