3. A game show gives away 2 new cars. One car is worth $50 000 and the other car is worth $40,000. Two members of the audience are randomly selected tc
participate and receive one of the two new cars. What is the expected value if you are randomly chosen and you had to pay $4 to be a member of the audience with 1999 other people?

Question

3. A game show gives away 2 new cars. One car is worth $50 000 and the other car is worth $40,000. Two members of the audience are randomly selected tc
participate and receive one of the two new cars. What is the expected value if you are randomly chosen and you had to pay $4 to be a member of the audience with 1999 other people?

anonymous · Answer

$$4\times 2000=8000$$ so if you bought all the tickets you would pay $8000 and get $9000 back, hmm good idea.  you gain $1000! 
in any case avereged over the 2000 tickets your expected value is 
$$1000\div 2000=.5$$ or fifty cents

anonymous · Answer

How do you get 9000 back?