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Mathematics, 15.04.2021 20:00 bm42400
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4. The management of Multi-Vision, Inc., a cable TV company, intends to submit a bid
for the cable television rights in one of two cities, A or B. If the company obtains
the rights to city A, the probability of which is 0.2, the estimated profit over the
next ten years is $10 million; if the company obtains the rights to city B, the
probability of which is 0.3, the estimated profit over the next ten years is $7 million.
The cost of submitting a bid for rights in city A is $250,000 and that of city B is
$200,000. By comparing expected profits for each venture, determine whether the
company should bid for the rights in city A or city B.
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4. The management of Multi-Vision, Inc., a cable TV company, intends to submit a bid
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