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Homework answers / question archive / Company X has assessed a 60%/40% probability of success if it introduces a new soap on the market
Company X has assessed a 60%/40% probability of success if it introduces a new soap on the market. If the soap is successful, the company will make a net profit of $225,000. If the soap does not sell, the company will lose $65,000. What is the expected value of this decision?
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