Answer:
The expected payout of the game is $230.46.
Step-by-step explanation:
The given table is
Payout Amount : $160 $4400 $145000
Probability : 0.146 0.024 0.0007
We need to find the expected payout of the game.
The formula for expected payout is
where, n is amount and P(x) is probability of that event. The value of n is negative for loss.
Using the above formula we get
Therefore the expected payout of the game is $230.46.
