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Lunna [17]
1 year ago
5

A game show contestant is offered the option of receiving a computer system worth $2300 or accepting a chance to win either a lu

xury vacation worth $5400 or a boat worth $8700. If the second option is chosen the contestants probabilities of winning the vacation or the boat are 0.20 and 0.15, respectively. If the contestant were to turn down the computer system. and go for one of the other prizes, what would be the expected winnings?
Mathematics
1 answer:
enot [183]1 year ago
6 0

Step 01:

Game show

Data:

$2300 computer system

$5400 luxury vacation

$8700 boat

Step 02:

Expected winnings

p (luxury vacation) = 0.20

p (boat) = 0.15

E\text{ (game show) = \$5400}\cdot0.20\text{ + \$8700}\cdot0.15

E (game show) = $1080 + $1305 = $2385

The answer is:

The expected winnings are $2385

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