There are three equally likely states of nature (High, Medium, and Low demand). If the large factory will post profits of $60,000, $25,000, and -$10,000 under these states of nature, respectively, what is the EMV of the factory?
A) $50,000
B) $25,000
C) $28,333.33
D) $21,666.67
E) $65,000

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The Answer of There are three equally likely states of nature (High, Medium, and Low demand). If the large factory will post profits of $60,000, $25,000, and -$10,000 under these states of nature, respectively, what is the EMV of the factory?
A) $50,000
B) $25,000
C) $28,333.33
D) $21,666.67
E) $65,000

There Are Three Equally Likely States of Nature (High, Medium