The student council is hosting a drawing to raise money for scholarships. They are selling tickets for $10 each and will sell 700 tickets. There is one $1,000 grand prize, two $200 second prizes, and ten $20 third prizes. You just bought a ticket. Find the expected value for your profit. Round to the nearest cent.
The student council is hosting a drawing to raise money for scholarships. They are selling tickets for $10 each and will sell 700 tickets. There is one $1,000 grand prize, two $200 second prizes, and ten $20 third prizes. You just bought a ticket. Find the expected value for your profit. Round to the nearest cent.
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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Transcribed Image Text:The student council is hosting a drawing to raise money for scholarships. They are selling tickets for $10 each and will sell 700 tickets. There is one $1,000 grand prize, two $200 second prizes, and ten $20 third prizes. You just bought a ticket. Find the expected value for your profit. Round to the nearest cent.
($) ___
Transcribed Image Text:**Probability Distribution and Expected Value Calculation for a Dice Game**
Suppose that you are offered the following deal: You roll a six-sided die. If you roll a 6, you win $18. If you roll any other number, you pay $3.
### Tasks:
a. **Complete the PDF Table:**
- List the X values, where X is the profit, from smallest to largest. Round to 4 decimal places where appropriate.
**Probability Distribution Table:**
```
| X | P(X) |
|-----|-------|
| | |
| | |
```
b. **Find the Expected Profit ($):**
- Calculate the expected value (Round to the nearest cent).
c. **Interpret the Expected Value:**
- Select the correct interpretation:
- ☐ If you play many games, on average, you will likely win, or lose if negative, close to this amount.
- ☐ This is the most likely amount of money you will win.
- ☐ You will win this much if you play a game.
d. **Based on the Expected Value, Should You Play This Game?**
*Note: Fill in the details of the probability distribution table and calculate the expected value based on the probability and profit outcomes.*
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