One thousand raffle tickets are sold for $2.00 each. One grand prize of $500 and two consolation prizes of $100 each will be awarded. Jeremy purchases one ticket. Find his expected value. Show your work for full credit.

Question

anonymous · Answer

His expected value? not sure what that means, rather ambiguous. but ill assume you mean his chances or probability of winning. this is simple, if he buys 1 ticket, thats 1/1000 right off the bat. then, if there are 3 prizes, we multiply his prob. by 3 giving us a 3/1000 chance of winning. 2/1000 for winning the consolidation prizes and 1/1000 for the grand prize. thanks, one love