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OpenStudy (anonymous):
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.
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OpenStudy (anonymous):
I got this for it Random gain values for Jeremy: 498; 98; -2 Corresponding probabilities 1/1000;2/1000;997/1000 E(x) = [1*498 + 2*98 -2*997]/1000 = -$1.30
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