SOLUTION: Mandy is considering bringing a lawsuit against a chemical company. Erin, her lawyer, estimates that there is a 65% chance Mandy will make $150,000, a 10% chance Mandy will break e

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Question 1118822: Mandy is considering bringing a lawsuit against a chemical company. Erin, her lawyer, estimates that there is a 65% chance Mandy will make $150,000, a 10% chance Mandy will break even, and a 25% chance they will lose the case and Sherri will need to pay $50,000 in legal fees. What is Mandy’s expected gain or loss if she proceeds with the lawsuit?
Answer by solver91311(24713) About Me  (Show Source):
You can put this solution on YOUR website!


I already answered this question, Question 1118772:



You can do your own arithmetic. A positive value indicates an expected gain, a negative value is a loss. However, since Sherri is paying the 50K in legal fees, Mandy has no possibility of a loss. Either that or you are an extremely lazy proofreader.


John

My calculator said it, I believe it, that settles it