A rock concert promoter has scheduled an outdoor concert on July 4th. If it does...
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Accounting
A rock concert promoter has scheduled an outdoor concert on July 4th. If it does not rain, the promoter will make $25.045. If it does rain, the promoter will lose $15,890 in guarantees made to the band and other expenses. The probability of rain on the 4th is.1. (a) What is the promoter's expected profit? Is the expected profit a reasonable decision criterion? (Round your answers to 1 decimal place.) 25,045 -15,890 P(x) px (b) How much should an insurance company charge to insure the promoter's full losses? (Round final answer to the nearest dollar amount.) At least
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