document.write( "Question 1158979: Don’t even know if this is the right category...\r
\n" ); document.write( "\n" ); document.write( "what is the expected value of a raffle ticket purchased for $4 if 1000 tickets are sold, the grand prize is valued at $750, and there are five second place prizes each valued at $250? \n" ); document.write( "

Algebra.Com's Answer #781978 by ikleyn(52812) $\"\"$ $\"About$

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document.write( "Probability to win $750 is  .\r\n" );
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document.write( "Probability to win either of five prizes at $250 is .\r\n" );
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document.write( "Hence, the money expectation to win is   = .\r\n" );
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document.write( "From it, you should subtract  $4 which you pay for the ticket, and then you get expected value of the game  \r\n" );
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document.write( "     = - $2.00.\r\n" );
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document.write( "It is EXTREMELY unfair game.\r\n" );
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document.write( "Statistically, you lose $2.00 in each game.\r\n" );
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