AEM1200-0122ToPost (2)

Impoverishment profit and risk profit revenue expense

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Unformatted text preview: rted prices may result in net Distorted impoverishment. impoverishment. Profit and Risk Profit Revenue – Expense = Profit (Loss); The higher the risk, the higher the probability of The losing a large amount of money; amount Investment of factors/resources/capital will occur Investment only if there is a equally large or larger only probability of winning a large amount of money. winning Risk vs. Uncertainty Risk Risk Known likelihood of losing a large amount of money; money; Known unknown Uncertainty Unknown likelihood of losing a large amount Unknown of money; of Unknown unknown...
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This note was uploaded on 02/19/2014 for the course AEM 1200 taught by Professor Perez,p.d. during the Spring '06 term at Cornell.

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