Question

You pay $10 to play the following game of chance. there is a bag containing 12 balls: three are red, five are green, and the rest are yellow. You are to draw one ball from the bag. You will win $15 if you draw a red ball, and you will win $10 if you draw a yellow ball. You win nothing for drawing a green ball. What is the expected value? Should you play?​

Answer 1

Answer:

$ -2.08  expected to lose  

Step-by-step explanation:

3 25.0%  $15.00   $5.00   $1.25  

5 41.7%  $10.00   $-     $-    

4 33.3%  $-     $(10.00)  $(3.33)  

     

    $(2.08)  expected to lose