Given
there are 1000 numbers from 000 to 999
Find
Expected value for this game
Step-by-step explanation
as we have 1000 numbers from 000 to 999
probability to win = 1/1000
if the player wins the game , the amount he gains = $700 - $2 = $698
probability to lose the game = 1-1/1000 = 999/1000
if player loses the game , the amount he gains = -$2
therefore , the expected value =
Final Answer
Hence , the expected value of the numbers game is -$ 1.3