you want to invest in a h

you want to invest in a h

you want to invest in a hot dog stand near the ballpark. you have a .35 probablility that you an turn your current $15,000 into $50,000 and a .65 probability that fierce competition will drive you to ruin, losing all your money. If you decide not to enter, you will keep your $15,000. Would you enter the market.I have the expected profit at $7,750 (.35)$50,000 + (.65)-$15,000 = $7,750. Stay out and keep the $15,000. Is that correct?

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