A company is considering a plan that has different profit results under different conditions. Assuming there is a 20% chance of a boom and 10% chance of a recession, compute the expected value of their plan.

Condition Result
Boom $2,000,000 Profit
Average $800,000 Profit
Recession (700,000) Loss

Is there enough information to answer this question?

Yes, there is enough information to answer this question. To compute the expected value, we need to multiply each profit or loss by its corresponding probability, and then sum up these values.

First, let's calculate the expected value for each condition:
- Boom: The profit during a boom is $2,000,000, and the probability of a boom occurring is 20% (0.20). Therefore, the expected value during a boom is 2,000,000 * 0.20 = $400,000.
- Average: The profit during an average condition is $800,000, and the probability of an average condition occurring is not given. Without this information, we cannot calculate the expected value for this condition. Please note that the probability for each possible condition must be provided to compute the expected value accurately.
- Recession: The loss during a recession is $700,000, and the probability of a recession occurring is 10% (0.10). Therefore, the expected value during a recession is (700,000) * 0.10 = -$70,000 (a negative value indicates a loss).

To compute the overall expected value, we need to sum up the expected values for each condition:
Expected Value = Expected Value during Boom + Expected Value during Average + Expected Value during Recession
= $400,000 + (Unknown value for average condition) - $70,000
= Unknown value

Without the probability of the average condition occurring, we cannot determine the overall expected value.