An apple farmer must decide how many apples to harvest for the world apple market.He knows that there is a one-third probability that the world price will be $1, a one-third probability that it will be $1.5, and a one-third probability that it will be $2.His cost function is C(Q) = 0.01Q2.What is the expected price in the world apple market?
A) $1.5.
B) $1.8.
C) $2.0.
D) $1.4.
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