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) Does the size of the grand prize affect your chance of winning? Explain. OA. No, because the expected profit is always $0 no matter what the grand prize is. OB. No, because your chance of winning is determined by the properties of the lotter OC. Yes, because your expected profit increases as the grand prize increases.

) Does the size of the grand prize affect your chance of winning? Explain. OA. No, because the expected profit is always $0 no matter what the grand prize is. OB. No, because your chance of winning is determined by the properties of the lotter OC. Yes, because your expected profit increases as the grand prize increases.

MATLAB: An Introduction with Applications
MATLAB: An Introduction with Applications
6th Edition
ISBN:9781119256830
Author:Amos Gilat
Publisher:Amos Gilat
Chapter1: Starting With Matlab
Section: Chapter Questions
Problem 1P
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Please help answer (c) on my practice homework

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x (cash prize, $) Grand prize For a multistate lottery, the following probability distribution represents the cash prizes of the lottery with their corresponding probabilities. Complete parts (a) through (c) below. (x) 200,000 0.00000025 0.000146059 0.003645779 4 0.006812266 0.01694146 3. 0.97245257524 (a) If the grand prize is $15,000,000, find and interpret the expected cash prize. If a ticket costs $1, w The expected cash prize is $ 0.27. (Round to the nearest cent as needed.) What is the correct interpretation of the expected cash prize? O A. On average, you will profit $0.27 per lottery ticket. B. On average, you will win $0.27 per lottery ticket. C. You will win $0.27 on every lottery ticket. The expected profit from one $1 ticket is $ =0.73 (b) To the nearest million, how much should the grand prize be so that you can expect a profit? 0000000 (c) Does the size of the grand prize affect your chance of winning? Explain. O A. No, because the expected profit is always $0 no matter what the grand prize is. O B. No, because your chance of winning is determined by the properties of the lottery, not the payouts. OC. Yes, because your expected profit increases as the grand prize increases. Help Me Solve This View an Example Get More Help
Transcribed Image Text:x (cash prize, $) Grand prize For a multistate lottery, the following probability distribution represents the cash prizes of the lottery with their corresponding probabilities. Complete parts (a) through (c) below. (x) 200,000 0.00000025 0.000146059 0.003645779 4 0.006812266 0.01694146 3. 0.97245257524 (a) If the grand prize is $15,000,000, find and interpret the expected cash prize. If a ticket costs $1, w The expected cash prize is $ 0.27. (Round to the nearest cent as needed.) What is the correct interpretation of the expected cash prize? O A. On average, you will profit $0.27 per lottery ticket. B. On average, you will win $0.27 per lottery ticket. C. You will win $0.27 on every lottery ticket. The expected profit from one $1 ticket is $ =0.73 (b) To the nearest million, how much should the grand prize be so that you can expect a profit? 0000000 (c) Does the size of the grand prize affect your chance of winning? Explain. O A. No, because the expected profit is always $0 no matter what the grand prize is. O B. No, because your chance of winning is determined by the properties of the lottery, not the payouts. OC. Yes, because your expected profit increases as the grand prize increases. Help Me Solve This View an Example Get More Help
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