1. A contractor must pay a $40,000 penalty if construc- tion of an expensive home requires more than 16 weeks. He will receive a bonus of $10,000 if the home is comple- ted within 8 weeks. Based on experience with this type of project, the contractor feels there is a 0.2 chance the home will require more than 16 weeks for completion, and there is a 0.3 chance it will be finished within 8 weeks. If the price of the home is $550,000 before any penalty or bonus adjustment, how much can the buyer expect to pay for her new home when it is completed?

2. A music shop is promoting a sale in which the purchaser of a compact disk can roll a die, then    deduct a dollar from the retail price for each dot that shows on the rolled die. It is equally likely that the die will come up any integer from 1 through 6. The owner of the music shop pays $5.00 for each compact disk, then prices  them at $9.00. During this special promotion, what will be the shop's average profit per compact disk sold?