Question

A board game of chance costs $2 is play You have a 20% chance dans is the expected value of playing the game you lose your bet 15% of the m

Answer 1

Given

Cost to play game = $2

Find

Expected value of playing

Step-by-step explanation

10% chance to win 1 = 1 x 10% = $0.1

25% chance to win 2 = 2 x 25% = $0.5

50% chance to win 5 = 5 x 50% = $2.5

15% chance to lose 2(being cost) = 2 x 15% = $0.3

= 1.5 -0.1 - 0.3 = 1.1

Final Answer

The expected value of playing is $1.10

Hence option (d) is correct