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Liqin Fixes Up Old Cars and Sells Them to Supplement

Question 16

Multiple Choice

Liqin fixes up old cars and sells them to supplement his retirement income. Liqin came across a beat-up 1955 Corvette that she is considering rebuilding and selling. She estimates a 0.2 probability that she will gain 15% on the deal, a 0.2 probability that she will gain 10%, and a 0.6 probability that she will gain 5%. Liqin's expected return for fixing up and selling the Corvette is ____%.


A) 8
B) 11
C) 20
D) 30

Correct Answer:

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