QUIZ 01

1.

Global Development Learning Network 1

Global Development Learning Network 2
QUIZ 01
4.7.
2. By investing in a particular stock, a person can
make a profit in one year of $4000 with probability 0.3
or take a loss of $1000 with probability 0.7. What is this
person’s expected gain?

E[X]=0.3*4000+0.7*(-1000)=1200-700=$500

Global Development Learning Network 3

QUIZ 01

3.

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Global Development Learning Network 5