A car wash loses $30 on rainy days and makes $120 on days when it does not rain. If the probability of rain is .15, calculate expected profit for the car wash.
A) $90
B) $76.50
C) $106.50
D) $97.50

Name: A car wash loses $30 on rainy days and makes $120 on days when it does not rain. If the probability of rain is .15, calculate expected profit for the car wash. A) $90 B) $76.50 C) $106.50 D) $97.50
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Question

Quizplus · Accepted Answer

μ_x = (−30)(.15) + (120)(.85) = −4.50 + 102 = 97.50

A Car Wash Loses $30 on Rainy Days and Makes