Mathematics, 01.06.2021 21:50 rylee87
Bobearns $60,000 a year at an accounting firm. Each year, he receives a raise. Bobhas determined that the probability that he receives a 10% raise is 0.7, the probability that he earns a 3% raise is 0.2, and the probability that he earns a 2% raise is 0.1.A competing company has offered Bob a similar position for $65,000 a year. Bob wonders if he should take the new job or take his chances with his current job.
A) Find the mathematical expectation of the dollar amount of his raise at his current job.
B) Based only on the mathematical expectation found (monetary earnings), should Bob stay at his current job or accept the new job? Explain your reasoning.
Answers: 2
Mathematics, 21.06.2019 17:00
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Mathematics, 21.06.2019 20:30
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Bobearns $60,000 a year at an accounting firm. Each year, he receives a raise. Bobhas determined tha...
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