You are on a TV show. You have been asked to either play a dice game five times or accept a $50 bill. The dice game works like this. If you roll a 1, 2 or 3, you win $49. If you roll a 4 or 5, you lose $24. If you roll a 6, you lose $87. Should you play the game? Use expected values and decision theory to justify your answer. (Round the answer to the nearest cent.) O Yes Ο No EV = $ 2
You are on a TV show. You have been asked to either play a dice game five times or accept a $50 bill. The dice game works like this. If you roll a 1, 2 or 3, you win $49. If you roll a 4 or 5, you lose $24. If you roll a 6, you lose $87. Should you play the game? Use expected values and decision theory to justify your answer. (Round the answer to the nearest cent.) O Yes Ο No EV = $ 2
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...
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![You are on a TV show. You have been asked to either play a dice game five times or accept a $50 bill. The dice game works like this:
- If you roll a 1, 2, or 3, you win **$49**.
- If you roll a 4 or 5, you lose **$24**.
- If you roll a 6, you lose **$87**.
Should you play the game? Use expected values and decision theory to justify your answer. (Round the answer to the nearest cent.)
- [ ] Yes
- [x] No
Expected Value Calculation:
\[ EV = \$ \boxed{2} \]
Note: The calculation seems to be incorrect as indicated by the red cross next to the expected value.](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F444e1323-274b-49a8-9dd9-b6fbdd1800d3%2F40794330-cb9c-4c69-8914-e04a19bd3c33%2Fbwrj7nf_processed.png&w=3840&q=75)
Transcribed Image Text:You are on a TV show. You have been asked to either play a dice game five times or accept a $50 bill. The dice game works like this:
- If you roll a 1, 2, or 3, you win **$49**.
- If you roll a 4 or 5, you lose **$24**.
- If you roll a 6, you lose **$87**.
Should you play the game? Use expected values and decision theory to justify your answer. (Round the answer to the nearest cent.)
- [ ] Yes
- [x] No
Expected Value Calculation:
\[ EV = \$ \boxed{2} \]
Note: The calculation seems to be incorrect as indicated by the red cross next to the expected value.
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