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Tickets for a raffle cost $18 There were 727 tickets sold. One ticket will be randomly selected as the winner, and that person wins $1500 and also the person is given back the cost of the ticket. For someone who buys a ticket, what is the Expected Value (the mean of the distribution)?

1 Answer

5 votes

Step 1

Given; Tickets for a raffle cost

$18 There were 727 tickets sold. One ticket will be randomly selected as the winner, and that person wins

$1500 and also the person is given back the cost of the ticket. For someone who buys a ticket, what is the Expected Value (the mean of the distribution)?

Step 2


E=-18((726)/(727))+(1500+18)((1)/(727))
\begin{gathered} E=-(13068)/(727)+(1518)/(727) \\ E=(-11550)/(727) \\ E=-15.88720 \\ E\approx-15.89 \end{gathered}

Answer;


User Matt Poush
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