SOLUTION: In the shell game, there are 3 large shells. A ball is placed under one of the shells, and the shells are moved quickly on a table. To play the game, you guess under which shell

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Question 1008088: In the shell game, there are 3 large shells. A ball is placed under one of the shells, and the shells are moved quickly on a table. To play the game, you guess under which shell the ball is. You pay $3 to play the game. If you win, you get $5 back; if you lose, you get no money back. What is the expected value per game (mathematical expectation)?
Answer by Boreal(15235) About Me  (Show Source):
You can put this solution on YOUR website!
Expected probability of being right is 1/3
The E(gain)=$5(1/3)=$5/3, or $1.67
The E(loss)=$3(2/3)=$2
The expected value of the gain is to loss $0.33 each time, or -$0.33