MATH
posted by Jen .
The property restoration company PuroServ is considering switching to new dehumidifiers. Their market research, considering the cost of the new machines and their efficiency, tells them that the switch would give them a 54% chance of making a $20,000 profit, a 23% chance of breaking even, and a 23% chance of losing $5,000. How much money does PuroServ expect to make with their new purchase?
Not sure what to do with this one....

expected value= SUM value*probabilities
= .54*20,000+.23*0 + .23(5000) 
so PuroServ expects to make $9,650 with their new purchase?
Respond to this Question
Similar Questions

statistic
. A company is considering installing new machines to assemble its products. The company is considering two types of machines, but it will buy only one type. The company selected eight assembly workers and asked them to use these two … 
math
The property restoration company puroserv is considering switching to new dehumidifiers. Their market research considering the cost of the new machines and their efficiency tells them that's them switch would give them an 80% chance … 
Math/Statistics
The property restoration company PuroServ is considering switching to new dehumidifiers. Their market research, considering the cost of the new machines and their efficiency, tells them that the switch would give them an 83 percent … 
Math
The property restoration company PuroServ is considering switching to new dehumidifiers. Their market research, considering the cost of the new machines and their efficiency, tells them that the switch would give them a 54% chance … 
Math
The property restoration company PuroServ is considering switching to new dehumidifiers. Their market research, considering the cost of the new machines and their efficiency, tells them that the switch would give them a 54% chance … 
MATH
The property restoration company PuroServ is considering switching to new dehumidifiers. Their market research, considering the cost of the new machines and their efficiency, tells them that the switch would give them a 54% chance … 
economics
You’re the manager of global opportunities for a U.S. manufacturer, who is considering expanding sales into Europe. Your market research has identified 3 potential market opportunities: England, France, and Germany. If you enter … 
statistics
the property restoration company is considering switching to new degumidifiers. Their market research, considering the cost of the4 new machines and their efficiency, tells them that the switch would give them a 96% chance of making … 
Finance
The manager for a growing firm is considering the launch of a new product. If the product goes directly to market, there is a 40 percent chance of success. For $171,000, the manager can conduct a focus group that will increase the … 
Managerial Economics
You’re the manager of global opportunities for a U.S. manufacturer, who is considering expanding sales into Europe. Your market research has identified three potential market opportunities: England, France, and Germany. If you enter …