SOLUTION: A lottery game allows you to select a 3-digit number using the digits 0, 1, 2, and 3. You may use the same digit more than once. If you pick the winning number, you are paid $25 on

Algebra ->  Probability-and-statistics -> SOLUTION: A lottery game allows you to select a 3-digit number using the digits 0, 1, 2, and 3. You may use the same digit more than once. If you pick the winning number, you are paid $25 on      Log On


   

Question 1042800: A lottery game allows you to select a 3-digit number using the digits 0, 1, 2, and 3. You may use the same digit more than once. If you pick the winning number, you are paid $25 on a $1 bet. (Round your answers to the nearest cent.)
a.) what is the average payoff?
b.) how much would you expect to lose, on the average, per $1 bet?
Answer by Fombitz(32388) About Me  (Show Source):
You can put this solution on YOUR website!
There are 4%5E3=64 possible combinations.
So then,
E=%2825%2A1%2B0%2A63%29%2F64=25%2F64=0.39
So you should expect to lose,
L=1-25%2F64=%2864-25%29%2F64=39%2F64=0.61