Consider a lottery with 100 million tickets in which each ticket has a unique number. Each ticket is sold for $1, and one ticket is drawn for a single prize of $75 million (and no other prizes). If you were to spend $1 million to purchase 1 million lottery tickets, what would the most likely result be? A) You would be the lottery winner. Buying 1 million tickets gives you a 1% chance of winning, which is a much higher chance than the people who bought one ticket have. B) You would win back $750,000 of your $1 million. The expected value in buying 1 million tickets is $750,000. C) You would be the lottery winner. Buying 1 million tickets increases your chances of winning by 1 million percent. D) You would lose your entire $1 million. If you spend $1 million on something, you have $1 million less than you had before. Therefore, you lost your entire $1 million. E) You would lose your entire $1 million. No matter how many tickets are bought, the chance of winning the lottery is still 1 in 100 million. F) You would win back $750,000 of your $1 million. You will lose about 25 cents per ticket, so you'll end up with $750,000 in the end.
Consider a lottery with 100 million tickets in which each ticket has a unique number. Each ticket is sold for $1, and one ticket is drawn for a single prize of $75 million (and no other prizes). If you were to spend $1 million to purchase 1 million lottery tickets, what would the most likely result be? A) You would be the lottery winner. Buying 1 million tickets gives you a 1% chance of winning, which is a much higher chance than the people who bought one ticket have. B) You would win back $750,000 of your $1 million. The expected value in buying 1 million tickets is $750,000. C) You would be the lottery winner. Buying 1 million tickets increases your chances of winning by 1 million percent. D) You would lose your entire $1 million. If you spend $1 million on something, you have $1 million less than you had before. Therefore, you lost your entire $1 million. E) You would lose your entire $1 million. No matter how many tickets are bought, the chance of winning the lottery is still 1 in 100 million. F) You would win back $750,000 of your $1 million. You will lose about 25 cents per ticket, so you'll end up with $750,000 in the end.
A First Course in Probability (10th Edition)
10th Edition
ISBN:9780134753119
Author:Sheldon Ross
Publisher:Sheldon Ross
Chapter1: Combinatorial Analysis
Section: Chapter Questions
Problem 1.1P: a. How many different 7-place license plates are possible if the first 2 places are for letters and...
Related questions
Concept explainers
Contingency Table
A contingency table can be defined as the visual representation of the relationship between two or more categorical variables that can be evaluated and registered. It is a categorical version of the scatterplot, which is used to investigate the linear relationship between two variables. A contingency table is indeed a type of frequency distribution table that displays two variables at the same time.
Binomial Distribution
Binomial is an algebraic expression of the sum or the difference of two terms. Before knowing about binomial distribution, we must know about the binomial theorem.
Topic Video
Question
Consider a lottery with 100 million tickets in which each ticket has a unique number. Each ticket is sold for $1, and one ticket is drawn for a single prize of $75 million (and no other prizes). If you were to spend $1 million to purchase 1 million lottery tickets, what would the most likely result be?
A) You would be the lottery winner. Buying 1 million tickets gives you a 1% chance of winning, which is a much higher chance than the people who bought one ticket have.
B) You would win back $750,000 of your $1 million. The expected value in buying 1 million tickets is $750,000.
C) You would be the lottery winner. Buying 1 million tickets increases your chances of winning by 1 million percent.
D) You would lose your entire $1 million. If you spend $1 million on something, you have $1 million less than you had before. Therefore, you lost your entire $1 million.
E) You would lose your entire $1 million. No matter how many tickets are bought, the chance of winning the lottery is still 1 in 100 million.
F) You would win back $750,000 of your $1 million. You will lose about 25 cents per ticket, so you'll end up with $750,000 in the end.
Expert Solution
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
This is a popular solution!
Trending now
This is a popular solution!
Step by step
Solved in 2 steps
Knowledge Booster
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, probability and related others by exploring similar questions and additional content below.Recommended textbooks for you
A First Course in Probability (10th Edition)
Probability
ISBN:
9780134753119
Author:
Sheldon Ross
Publisher:
PEARSON
A First Course in Probability (10th Edition)
Probability
ISBN:
9780134753119
Author:
Sheldon Ross
Publisher:
PEARSON