SOLUTION: A player rolls a fair die and receives a number of dollars equal to the number of dots showing on the face of the die. Example, if the player rolls a 1 they would receive $1.00. Th

Algebra ->  Customizable Word Problem Solvers  -> Misc -> SOLUTION: A player rolls a fair die and receives a number of dollars equal to the number of dots showing on the face of the die. Example, if the player rolls a 1 they would receive $1.00. Th      Log On

Ad: Over 600 Algebra Word Problems at edhelper.com


    

Question 1134778: A player rolls a fair die and receives a number of dollars equal to the number of dots showing on the face of the die. Example, if the player rolls a 1 they would receive $1.00. The probability would be 1/6. If the game costs $1 to play, how much should the player expect to win for each play over the long run?
And how much should the player be willing to pay to play this game and not lose money in the long run?
Answer by rothauserc(4718) About Me  (Show Source):
You can put this solution on YOUR website!
Expected value = 1*1/6 + 2*1/6 + 3*1/6 + 4*1/6 + 5*1/6 + 6*1/6 = 3.5
:
On each roll of the dice a player can expect to win $3.50 - $1 = $2.50
:
The player can expect to pay $3.50 on each roll and expect to not lose money in the long run
: