Question

You play a game with a friend they pul a marble out of the bag with 3 red marbles and 7 green marbles. If the marble is red you win$2 if the marble is green you lose $1 What is the expected value of the game for you

Answer 1

Explanation:

Amount of red marbles = 3red

Amount of green marbles = 7 green

If the marble is red and you win $2, the total amount of money won = 3 * $2 = $6

If the marble is green and you loose $1, the total amount of money lost = 7 * $1 = $7

The expected value of the game for you = amount won - amount lost

= $6 - $7

= -$1

This means the expected value is a loss of $1