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Newspaper seller is trying to order newspapers for tomorrow, but she doesn't know exactly how many people will want to buy newspapers from her. However,
Newspaper seller is trying to order newspapers for tomorrow, but she doesn't know exactly how many people will want to buy newspapers from her. However, she knows the probability distribution of demand. Specifically she knows that there will be a 20% chance of demand equals 120% chance of demand equals 220% chance of demand equals 320% chance of demand equals 420% chance of demand equals 500 she can sell newspapers at five dollars each and buy the newspapers from the wholesaler for a dollar Anything she doesn't sell she hast to throw away and this gets zero dollars at the end of the day how many newspapers should she buy for tomorrow
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