Consider the salary of Mary Sue Nelson,a sales agent for Plain Truth Advertising.Her wage package is ,where Q is her dollar volume of sales.Her productivity is ,where e denotes her hours of effort and µ is a random variable with mean 0.She has an effort cost of C = e2.Under this contract,the expected value of her total wages will be:
A) $200.00.
B) $1,000.00.
C) $3,060.00.
D) $4,200.00.
Correct Answer:
Verified
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