SOLUTION: If a gambler rolls two dice and gets the sum of 7, he wins $20. If he gets a sum of 4, he wins $40. The cost of playing is $14. What is the expectation of this game?
Algebra ->
Probability-and-statistics
-> SOLUTION: If a gambler rolls two dice and gets the sum of 7, he wins $20. If he gets a sum of 4, he wins $40. The cost of playing is $14. What is the expectation of this game?
Log On
Question 1068026: If a gambler rolls two dice and gets the sum of 7, he wins $20. If he gets a sum of 4, he wins $40. The cost of playing is $14. What is the expectation of this game? Answer by stanbon(75887) (Show Source):
You can put this solution on YOUR website! If a gambler rolls two dice and gets the sum of 7, he wins $20. If he gets a sum of 4, he wins $40. The cost of playing is $14. What is the expectation of this game?
------
Random "winnings":: 20 ; 4 ; -14
Probabilities::: 6/36 ; 3/36 ; 27/36
-----
Expected winnings:: (6*20 + 3*4 -27*14)/36 = -246/36 = -$6.83
-------------
Cheers,
Stan H.
----------------
(