Question

I own stock in IBM. This week, I estimate that there is a 40% chance that my stock will gain $800, a 10% chance that my stock will stay the same, and a 50% chance that it will lose $200. What is the expected value of my stock for this week? Just type in the whole number answer, without $ or any decimals.

Name: own stock in ibm this week estimate that there is a 40 chance that my stock will gain s800a 10 chance that my stock will stay that same and a 50 chance that it will lose 200 what is the exp 95373
Uploaded: 2023-06-08T20:13:06-08:00
Duration: 1 min 32 s
Channel: Pritesh Ranjan
Description: own stock in ibm this week estimate that there is a 40 chance that my stock will gain s800a 10 chance that my stock will stay that same and a 50 chance that it will lose 200 what is the exp 95373

          I own stock in IBM. This week, I estimate that there is a 40% chance that my stock will gain $800, a 10% chance that my stock will stay the same, and a 50% chance that it will lose $200. What is the expected value of my stock for this week? Just type in the whole number answer, without $ or any decimals.

Added by Leslie W.

Elementary Statistics a Step by Step Approach

Allan G. Bluman 9th Edition

Instant Answer

Solved by Expert Pritesh Ranjan

06/08/2023

Step 1

Calculate the expected value of gaining $800: - 40% chance of gaining $800 = 0.4 x $800 = $320 Show more…

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I own stock in IBM. This week, I estimate that there is a 40% chance that my stock will gain $800, a 10% chance that my stock will stay the same, and a 50% chance that it will lose $200. What is the expected value of my stock for this week? Just type in the whole number answer, without $ or any decimals.