Question

At a fundraising event, 200 tickets were sold at $10 each. One ticket

is randomly drawn and the owner of that ticket gets a brand new TV valued at $500. Find the expected value for each ticket sold for the group that sponsors the fundraising event. You must use a chart to summarize the given information.

Answer 1

Let's create a chart to summarize the given information:

| | Number of Tickets | Value per Ticket | Total Value |
|------|------------------|-----------------|-------------|
| Sold | 200 | $10 | $2000 |
| Won | 1 | $500 | $500 |

To find the expected value for each ticket sold, we need to calculate the average value of winning a TV considering the number of tickets sold and the value of the prize.

The probability of winning the TV can be calculated by dividing the number of winning tickets (1) by the total number of tickets sold (200), which is 1/200.

Now, let's calculate the expected value:

Expected value = (Probability of winning) * (Value of the prize)

Expected value = (1/200) * ($500)

Expected value = $2.50

Therefore, the expected value for each ticket sold for the group that sponsors the fundraising event is $2.50.