# Math Help - Profit Probability

1. ## Profit Probability

This is a homework question I have been stuck on for several days. Just found this place so thought one of you might be able to help out.

"A contractor is considering a sale that promises a profit of $36,000 with a probability of 0.7 or a loss of$3000 with a probability of 0.3. What is the expected profit?"

Thanks much in advance,

MrBlack

2. 0.7*36,000 - 0.3*3,000 = 24,300

3. It really is just that simple? wow... I always over-complicate things