Expected value analysis requires taking the difference between the actual projected outcome and the historic outcome times its' probability and summing these totals.

Name: Expected value analysis requires taking the difference between the actual projected outcome and the historic outcome times its' probability and summing these totals.
Brand: Quizplus
Rating: 4.8 (51 reviews)

Question

Quizplus · Accepted Answer

Expected value analysis involves multiplying each possible outcome by its probability and summing these products, not taking the difference between outcomes.

Expected Value Analysis Requires Taking the Difference Between the Actual