This article was co-authored by Madison Boehm. Madison Boehm is a Business Advisor and the Co-Founder of Jaxson Maximus, a men’s salon and custom clothiers based in southern Florida. She specializes in business development, operations, and finance. Additionally, she has experience in the salon, clothing, and retail sectors. Madison holds a BBA in Entrepreneurship and Marketing from The University of Houston.
This article has been fact-checked, ensuring the accuracy of any cited facts and confirming the authority of its sources.
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Expected opportunity loss (EOL) is a statistical calculation used primarily in the business field to help determine optimal courses of action. [1] X Expert Source
Madison Boehm
Business Owner and Advisor Expert Interview. 24 August 2021. Doing business is full of decision making. Any decision consists of a choice between two or more events. For each event, there are two or more possible courses of action that you might take. Calculating the EOL is an organized way of using a mathematical model to compare these choices and outcomes, to make the most profitable decision.