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hi please i need the answer urgently thanks 

05-28-2013 05:21 AM

Ryotel is conducting market research to determine whether or not to launch a new product. Management believes there is a 60% probability the research will yield favorable results with a 40% probability the results will be unfavorable. If the results are favorable, there is a 70% probability the product will be successful; if the results are unfavorable, the probability the product will be unsuccessful is 75%. If the product is successful, Ryotel anticipates annual profits of $10,000,000, but if the product is unsuccessful, Ryotel will lose $4,000,000 each year. The expected value of the new product’s annual profit is a. $3,000,000. b. $3,280,000. c. $4,000,000. d. $5,300,000.

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06-03-2013 05:11 AM

you can find answer her
http://linkup.imanet.org/Communities/ViewDiscussions/ViewThread/?GroupId=1573&MID=21742

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