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Business projection: An investor is considering an investment in a start-up company. She estimates that she has probability 0.39 of a $12,800 loss, probability 0.25

Business projection:An investor is considering an investment in a start-up company. She estimates that she has probability 0.39 of a $12,800 loss, probability 0.25 of a $15,000 profit, probability 0.13

of a

$58,000

profit, and probability

0.23

of breaking even (a profit of $0). What is the expected value of the profit? Would you advise the investor to make the investment?

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The expected value of the profit is

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