6 A small software company bids on two contracts It

Last updated: 12/1/2023

6 A small software company bids on two contracts It anticipates a profit of 40 000 if it gets the larger contract and a profit of 20 000 if it gets the smaller contract The company estimates that there is a 34 chance it will get the larger contract and a 62 chance it will get the smaller contract If the company does not get either contract it will neither gain nor lose money Assuming the contracts will be awarded independently what s the expected profit E X