1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
GuDViN [60]
2 years ago
9

Use the following statement to answer parts ​a) and​ b). Five hundred raffle tickets are sold for​ $3 each. One prize of ​$200 i

s to be awarded. Winners do not have their ticket costs of​ $3 refunded to them. Raul purchases one ticket. ​a) Determine his expected value. ​b) Determine the fair price of a ticket.
Business
1 answer:
vazorg [7]2 years ago
5 0

Answer:

A.) - 2.6

B.) 0.4

Explanation:

Ticket price = $3

Winning price = $200

Probability of winning(Pwin) = (1/500)

Probability of not winning (Ploss) = [ 1 - (1/500)] = 499/500

Net income if Raul wins (Nwin) = $200 - $3 = $197(no refund)

Net loss if Raul does not win(Nloss) = - $3

A.) Expected value is calculated by;

(Pwin × Nwin) + (Ploss × Nloss)

((1/500) × 197) + ((499/500) × - 3)

0.394 - 2.994 = - 2.6

B.) Fair Value is calculated by;

Cost of ticket + Expected value

3 - 2.6 = 0.4

You might be interested in
Assume you are the internal controls expert for your company. Your boss has read about Madoff’s Ponzi scheme described in a page
kiruha [24]

Answer:

There are numerous estimates an organization can embrace to elevate the guidelines of inside controls, anyway not many of those are counted as under -  

1. Due Diligence - nearly everybody would propose it yet the usage contrasts from organization to organization. The term incorporates wide exercises for example from improving nature of inner review to upkeeping of money related records and so on. Keeping a mind existing and old venture example would positively help in examining the reaction of speculations according to winning economic situation. Disservices of the procedure incorporate involvement of extra labor and cost.  

2. Picking right Investment firms as well as Fund Manager - In the intricate business showcase which wins today, seeing the correct person appears as a troublesome activity. It is significant that we cautiously study not just the speculation designs and ensuing returns of the Investment firms/Fund Manager yet in addition foundation, capabilities and past legitimate records to show up at appropriate person for reasonable occupation. At times we pick a distrustful yet a fair person, which may prompt penance in momentary gains yet particularly in retirement assets with long haul objectives, security of assets accept need.  

3. Choosing the money related items - Today there are various budgetary items accessible in the market, a significant number of them offer extravagant returns however the objectives of such monetary items must be re-adjusted to the objectives of the organization and its representatives. For the organization a nice return over since a long time ago run with high level of security is the target with regards to retirement reserves. The budgetary item should have a suitable blend of obligation, value and fluid assets and especially the part of obligation must increment with the age of a worker which will guarantee security of assets when he achieves superannuation. Drawback significantly remembers loss of profits because of less speculation for value during the last phases of vocation.

3 0
3 years ago
Dave manages a Shoney's restaurant. He is considering staying open later in the evening. For Dave, the variable costs associated
UNO [17]

Answer:

The correct option is C, rent on the restaurant building

Explanation:

The ingredients used in preparing food is variable cost as it varies with the number of plates of food prepared.

Hours worked by cooks determine how much they are paid since the longer they stay the higher the pay,hence it is a variable cost.

The rent on the restaurant building stay the same regardless of opening hours ,hence it is fixed not variable cost.

The energy costs varies with the number of opening hours, it is a variable cost.

The hours worked by servers determine how their take-home would be ,as a result it is a variable cost.

7 0
3 years ago
How does real fingerprint analysis differ from the fingerprint analysis shown on television programs such as CSI?
Zolol [24]
Nowadays the FBI and all that take ink and put your finger prints in your file, but in CSI they just have your finger prints on the data base over the computer saved... Hope this helped!!
8 0
3 years ago
Read 2 more answers
Studdard Controls recently declared a quarterly dividend of $1.25 payable on Thursday, April 25, to holder of record of Friday,
elena-14-01-66 [18.8K]

Answer:

April 11th

Explanation:

the dividends will be paid to the owner of the share one day before the record.  This is defined asthe Ex-date ofthe dividends.

DISCLAMER

Assuming it refers to 2019 Apil 12th

the previous business day will be April 11th (we should liook into the calendar and avoid counting Friday and saturdays

for the year 2019 April 12th is a friday so it is okay to define it as April 11th

7 0
3 years ago
The following budgeted information is provided: Month 1 2 3 Sales in units 15,000 20,000 18,000 Production in units 16,000 22,00
nekit [7.7K]

Answer:

Purchases= 17,200 pounds

Explanation:

Giving the following information:

Production in units:

Month 1= 16,000 units

Month 2= 22,000 units

One pound of materials is required for each finished unit.

The inventory of materials at the end of each month should equal 20% of the following month's production needs.

Beginning inventory= 3,200 lbs.

To calculate the direct material required, we need to use the following formula:

Purchases= production + desired ending inventory - beginning inventory

Purchases= 16,000 + 22,000*0.2 - 3,200

Purchases= 17,200 pounds

8 0
2 years ago
Other questions:
  • How do you display integrity and moral character?
    14·1 answer
  • A cost which remains constant per unit at various levels of activity is a:
    15·1 answer
  • Problem 10-3 eastman publishing company is considering publishing an electronic textbook about spreadsheet applications for busi
    6·1 answer
  • Challenger Factory produces two similar products - regular widgets and deluxe widgets. The total plant overhead budget is $675,0
    12·1 answer
  • Legazint, a law firm, organizes its staff into departments based on the type of clients the department deals with. These departm
    13·1 answer
  • The most immediate impact of rising inflation is
    13·2 answers
  • Manero Company included the following information in its annual report: 20X3 20X2 20X1 Sales$178,400 $162,500 $155,500 Cost of g
    6·1 answer
  • What will we never do in a world of scarcity? Group of answer choices Satisfy all basic human needs. Satisfy all basic human wan
    7·1 answer
  • he newspaper reported last week that Bennington Enterprises earned $34.03 million this year. The report also stated that the fir
    5·1 answer
  • The federal deficit fell from $1,300 billion in 2011 to $1,087 billion in 2012. How much of this change was due to
    12·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!