A construction contractor is considering to bid on completing a project that promises a profit of $32,530 with a probability of 0.71, or a loss (due to bad weather, worker strikes, etc.) of $7,155 with a probability that is the complement probability of making a profit. What is the expected profit for the contractor? Note: Please avoid rounding numbers in the middle of your calculations. However, round your final answer to two decimal places, (such as 80.76 or 1200.34, and so on) before entering it in the box below. There is no need to enter the $ symbol in the answer box.
A construction contractor is considering to bid on completing a project that promises a profit of $32,530 with a probability of 0.71, or a loss (due to bad weather, worker strikes, etc.) of $7,155 with a probability that is the complement probability of making a profit. What is the expected profit for the contractor? Note: Please avoid rounding numbers in the middle of your calculations. However, round your final answer to two decimal places, (such as 80.76 or 1200.34, and so on) before entering it in the box below. There is no need to enter the $ symbol in the answer box.
Chapter8: Sequences, Series,and Probability
Section8.7: Probability
Problem 11ECP: A manufacturer has determined that a machine averages one faulty unit for every 500 it produces....
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Transcribed Image Text:A construction contractor is considering to bid on completing a project that
promises a profit of $32,530 with a probability of 0.71, or a loss (due to bad
weather, worker strikes, etc.) of $7,155 with a probability that is the
complement probability of making a profit. What is the expected profit for the
contractor?
Note: Please avoid rounding numbers in the middle of your calculations. However,
round your final answer to two decimal places, (such as 80.76 or 1200.34, and so
on) before entering it in the box below. There is no need to enter the $ symbol in the
answer box.
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