An Investment Pays $1,000 Three Quarters of the Time, and $0

question 105

Multiple Choice

An investment pays $1,000 three quarters of the time, and $0 the remaining time. Its expected value and variance respectively are:

• A) $1,000: 62,500 dollars²
• B) $750; 46,875 dollars
• C) $750; 62,500 dollars
• D) $750; 187,500 dollars²

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Definitions:

Angiography

A medical imaging technique used to visualize the inside of blood vessels and organs of the body, specifically arteries, veins, and the heart chambers.

Blood Urea Nitrogen

A medical test that measures the amount of nitrogen in the blood that comes from the waste product urea, used to assess kidney function.

Creatinine

A waste product produced by muscles from the breakdown of a compound called creatine, commonly measured in blood or urine tests as a marker of kidney function.

Intravenous Moderate Sedation

A controlled administration of drugs through the vein to reduce patient awareness and discomfort during medical procedures.