In a game, you win 79 dollars with probability 20% and 10 dollars with probability 30%. What is the expected value?

**Choice A is the best answer.** E = 79(0.2) + 10(0.3) = 15.8 + 3 = 18.8 dollars

**Choice A is the best answer.** E = 79(0.2) + 10(0.3) = 15.8 + 3 = 18.8 dollars

Set 1: Probability (Advanced)

Explanation

Answer: A

PROBLEM

In a game, you win $79 with probability 20% and $10 with probability 30%. What is the expected value?

18.8

✓ Correct

37.6

13.8

23.8

Choice A is the best answer. E = 79(0.2) + 10(0.3) = 15.8 + 3 = $18.8

Why others are wrong:

B: 37.6 is incorrect because it does not satisfy the equation.

C: 13.8 is incorrect because it does not satisfy the equation.

D: 23.8 is incorrect because it does not satisfy the equation.