SOLUTION: The student council is hosting a drawing to raise money for scholarships. They are selling tickets for $8 each and will sell 900 tickets. There is one $3,000 grand prize, three $30

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Question 1168407: The student council is hosting a drawing to raise money for scholarships. They are selling tickets for $8 each and will sell 900 tickets. There is one $3,000 grand prize, three $300 second prizes, and fourteen $40 third prizes. You just bought a ticket. Find the expected value for your profit. Round to the nearest cent.
Answer by ikleyn(52780) About Me  (Show Source):
You can put this solution on YOUR website!
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The student council is hosting a drawing to raise money for scholarships.
They are selling tickets for $8 each and will sell 900 tickets.
There is one $3,000 grand prize, three $300 second prizes, and fourteen $40 third prizes.
You just bought a ticket. Find the expected value for your profit. Round to the nearest cent.
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The expected value of the profit is


    E = 3000%2A%281%2F900%29+%2B+300%2A%283%2F900%29+%2B+40%2A%2814%2F900%29+-+8 = -3.04  dollars.    ANSWER

Solved.

The formula is self-explanatory: its meaning is OBVIOUS.