First investment yields a gain, Macroeconomics

Assignment Help:

An investor has a choice of 2 investment opportunities. The first investment yields a gain of $2800 with probability of 0.37, a gain of $1100 with probability of 0.27, and otherwise a loss of $800. Investment #2 yields a gain of $2000 with probability of .2, $400 with a probability of .7, and a loss of $1000 with a probability of 0.1. What is the expected dollar gain or loss of investment #1? (please express your answer using 2 decimal places).


Related Discussions:- First investment yields a gain

Money supply, does central bank determine money supply in the economy

does central bank determine money supply in the economy

Lag length critera, can u please tell me why lag length criteria is used du...

can u please tell me why lag length criteria is used during estimation of VAR model? what is the purpose of lag length criteria and how it can be interpreted?

Ashly''s budget constraint, Ashley can join a club for an annual fee of $20...

Ashley can join a club for an annual fee of $20. if she can purchase golf balls at 40% off the retail price. Draw ashly's budget constraint if she joins and if she does not join th

Difference between sampling error and standard error, Which is not true of ...

Which is not true of the difference between sampling error and standard error? a. Standard error is a difference from the population. b. Sampling error can't usually be calcula

Financial and real investment, Financial and Real Investment Financial ...

Financial and Real Investment Financial investment simply means transfer of right from one party to another. While one party has made investment, the other has made disinvestme

Correlation of investment and interest rate, Suppose the demand for loanabl...

Suppose the demand for loanable funds was stable but the supply fluctuated from year to year. what cause fluctuate in supply?

Industrial production and agricultural production, Industrial Production an...

Industrial Production and Agricultural Production  Industrial production and agricultural production are aggregate measures of sectoral outputs. It is a common practice to divi

Explain about labor market in as-ad model, Q. Explain about Labor Market  ...

Q. Explain about Labor Market  in AS-AD model? In AS-AD model, economy will always be on the response curve - the thick line in chart below.  Figure: The labor in the

Growth of trade, Growth of Trade: As far as the growth of exports and ...

Growth of Trade: As far as the growth of exports and imports are concerned,  it is evident  from Table 17.2  that India has performed better than the world growth  rates  in

#GDP, #“Nominal GDP declined between 2008 and 2009, therefore the GDP defla...

#“Nominal GDP declined between 2008 and 2009, therefore the GDP deflator must also have declined.”

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd