Assignment Task: Please help me answer the following questions:
1. Suppose a single dice is thrown. If the dice comes up 1, 2 or a 3, you lose $80. If the dice comes up 4, you lose $20. Otherwise, you gain $60. What is the expected value?
(Use at least one decimal place in your answer)
2. Consider the fundamental risk equation,
Risk = Likelihood x Impact
Which of the following element in the ALE model most corresponds to likelihood in this equation?