SOLUTION: One thousand tickets ae sold at $1 each for a grand prize of $500.00. What is the expected value if a person purchases a single ticket?

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Question 1023026: One thousand tickets ae sold at $1 each for a grand prize of $500.00. What is the expected value if a person purchases a single ticket?
Answer by robertb(5830) About Me  (Show Source):
You can put this solution on YOUR website!
Assuming only 1 ticket out of the 1,000 sold would win the $500, the expected value would be
%281%2F1000%29%2A%28499%29%2B%28999%2F1000%29%2A%28-1%29++=-0.50,
or, he is expected to lose $0.50.