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one thousand tickets are sold at $2 each. One ticket will be selected and the winner will receive a flat screen TV valued at $387. what is the expected value for a person that buys one ticket ?

Respuesta :

Hello there. This question uses binomial mean and standard deviation. As calculated, the expected value for a person that buys one ticket is -$1.613. Note that the negative value only means that each of the one thousand ticket holder loses and average of $1.613. Hope this helps.