a project has the following projected outcomes in dollars: $210, $320, and $540. the probabilities of their outcomes are 25%, 55%, and 20% respectively. what is the expected value of these outcomes?

Respuesta :

The expected value of these outcomes are  $262.5, $496 and $648 respectively

How to calculate expected values?

You should know that the expected value are the proportion of the values when valued with the percentages

The given values are $210, $320 and $540

The given percentages are 25%, 55% and 20%

The expected values are

0.25*210 = $52.5+210=$262.5

0.55*320=176+320=$496

0.20*540=108+540=$648

Therefore the projected values of the project are  $262.5, $496 and $648 respectively

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