A man is gambling is and each bet costs .25. He must pull tickets from a box with 312 tickets. 211 tickets are labeled 0. 1 ticket is labeled .25. 100 tickets are labeled .50. He earns the amoutn written on the ticket for each bet. Say he bets 100 times. What is his expected net gain? What is the standard deviation for the box? What is the standard error for his net gain?
2006-12-14 10:22:36 · 2 answers · asked by Kat 1 in Science & Mathematics ➔ Mathematics
Post what you've been able to do so far and someone will help you.
Expectation is the sum of the probabilitis of an event times the value of the random variable for that event.
So, for a single bet:
cost + sum of possible events:
-.25 + 211/312 * 0 + 1/312 * .25 + 100/312 * .50
Do the arithmetic on that and you'll get the expectation for a single bet.
Boehme has a good question. When he plays the game again, does he return the tickets to the box?
If so, multiply by 100 for 100 bets. If not, then there's a similiar calculation to be done.
2006-12-14 12:58:05 · answer #1 · answered by modulo_function 7 · 0⤊ 0⤋
Does he return the tickets to the box or not?
2006-12-15 00:00:05 · answer #2 · answered by Boehme, J 2 · 0⤊ 0⤋