Answered: Suppose someone is given the option of…

Suppose someone is given the option of having either a guaranteed $20 a 21 % chance at $9, otherwise you get of $30. What is the expected value of Option 2?

College Algebra

10th Edition

ISBN:9781337282291

Author:Ron Larson

Publisher:Ron Larson

Chapter8: Sequences, Series,and Probability

Section: Chapter Questions

Problem 41CT: On a game show, a contestant is given the digits 3, 4, and 5 to arrange in the proper order to form...

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Question

Suppose someone is given the option of having either a guaranteed $20 a 21 % chance at $9, otherwise you get of $30. What is the expected value of Option 2?

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