a contestants have a chance to increase their current winnings of $1 million to $2 million. They have a 50% chance of winning. s
2 answers:
Answer:
Step-by-step explanation:
Given that a contestants have a chance to increase their current winnings of $1 million to $2 million.
Also given that They have a 50% chance of winning. should they play
Thus we have 0.50 chance of getting additional 1 million or
0.50 chance of getting nothing.
Expected value of the gain by playing
=
Since expected value is positive, they can play and try.
They should play the game because there is a 50% chance of winning the $1 million dollars and 50% chance of losing $500,000
<h3>Further explanation </h3>The question is about the Game Show Uncertainty. Probability itself is the number of ways of achieving success / unsuccess
In the final round of a TV game show, contestants have the chance to increase their current winnings of $1 million dollars to $2 million dollars. They have a 50% chance of winning. Should they play?
There is a 50% chance of winning the $1 million dollars, also 50% chance of losing $500,000.
The other problem is:
It costs $1 million to play
if you are right, you win $2 million. Whereas if you are wrong, you win $500,000.
The expected value of playing is $1 million.
$
$ 1,250,000 is higher than the cost of playing
The minimum probability of a guess to make the playing still profitable is 33%
%
- Learn more about probability brainly.com/question/7965468
- Learn more about chance brainly.com/question/4325848
- Learn more about winnings brainly.com/question/2146500
Grade: 5
Subject: Math
Chapter: probability
Keywords: probability, chance, winnings, play, contestants
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