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A Share of a Restaurant Chain Can Be Worth $2

question 20

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A share of a restaurant chain can be worth $2 with a probability of 0.40 and $10 with a probability of 0.60.What is the variance of the price of this share?


Definitions:

Chew Stick

A Chew Stick is a traditional dental tool made from natural plant stems or roots used to clean teeth and freshen breath.

Spike

A sudden, large increase or peak in the data, often seen in graphs or time series analysis.

Fixed-Interval

A schedule of reinforcement where a response is rewarded only after a specified amount of time has elapsed.

Reinforcement

The process of encouraging or establishing a pattern of behavior by offering rewards or consequences.

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