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maryanne.jones3 maryanne.jones3
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A year ago
You just purchased stake in a start-up company as part of a high-risk investment. You believe that in a year from now this company may no longer exist, in which case your stake is worthless; there is a 81% chance of this happening. However, you also believe there is a 19% chance that your stake will be worth $27 million. What is the expected value of your stake in this start-up company?
Please round your final answer to the nearest dollar.

▸ $21.87 million

▸ $27 million

▸ $0

▸ $5.13 million
Textbook 
Macroeconomics

Macroeconomics


Edition: 3rd
Authors:
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inhibitor128inhibitor128
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A year ago
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maryanne.jones3 Author
wrote...

A year ago
I appreciate what you did here, answered it right Smiling Face with Open Mouth
karamsidhu1
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Yesterday
Helped a lot
Lourd Jenkins
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2 hours ago
Thanks
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