Question

In a Superbowl pool, the odds of you winning $100 is 2%, winning $75 is 8%, winning $50 is 10%, winning $35 is 15%, winning $20 is 25%, winning $0 is 40%. Find the expected amount of you would get if you played in the pool. Hint, what is your variable X and what is the P(X).

A. $25.50
B. $35.00
C. $45.00
D. $55.00

Answer 1

To find the expected amount you would get if you played in the pool, multiply each outcome by its probability and sum them up.

Step-by-step explanation:

To find the expected amount you would get if you played in the pool, you need to multiply each possible outcome by its corresponding probability and then sum them up. Let's calculate:

1. Expected amount = 0 * 0.40 + 20 * 0.25 + 35 * 0.15 + 50 * 0.10 + 75 * 0.08 + 100 * 0.02
2. Expected amount = 0 + 5 + 5.25 + 5 + 6 + 2
3. Expected amount = 23.25

The expected amount you would get if you played in the pool is $23.25. Therefore, the correct answer is option B. $35.00.