Question

MEDAL GIVEN
Suppose a charitable organization decides to raise money by raffling a trip worth $500. If 3,000 tickets are sold at $1.00 each, find the expected value of winning for a person who buys 1 ticket.

Answer 1

If he wins, the change in his financial holdings is $500-1=+499.
If he loses, the change in his financial holdings is $-1.
The probability he will win is 1%2F3000 (one ticket out of 3000)
and the probability he will lose is 2999%2F1000.


Therefore, his expected net winnings are:
E+=+499%281%2F3000%29+%2B+%28-1%29%282999%2F3000%29..........(winning $1 bet).

= %28499%2F3000%29%2B%28-2999%2F3000%29
= -2500%2F3000
= -0.83

Answer 2

I DONT GET IT

Answer 3

@dakid88

Answer 4

im saying the answer is -0.83

Answer 5

its confusing because the equation for expected value is different

Answer 6

i need help understanding it

Answer 7

not just the answer

Answer 8

okay

Answer 9

now the formula for expected value is E(X) = x1p1 + x2p2 + x3p3 + . . . + xnpn.

Answer 10

and i dont understand how that correlates

Answer 11

hold on igtg

Answer 12

@igigighjkl