Answer:
The new account balance is <u>$812</u>.
Step-by-step explanation:
Given:
Larry Thomas's charge account statement shows an unpaid balance of $800.
The monthly finance charge is 1.5% of the unpaid balance.
Now, to find the new account balance.
Unpaid balance = $800.
Monthly finance charge of the unpaid balance = 1.5%.
Now, to get the new account balance:
$800 + 1.5% of $800.
Therefore, the new account balance is $812.
The game is not fair as 6 times the expected sum is less than the cost, $43.
In the question, we are asked if the game is fair.
For the game to be fair, 6 times the expected sum for the pair from the game has to be greater than or equal to $43, that is,
6E(X) ≥ 43.
The expected sum for the pair, E(X) can be calculated using the formula,
E(X) = ∑x.p(x),
or, E(X) = 1/18 + 1/6 + 1/3 + 5/9 + 1/6 + 7/9 + 10/9 + 1 + 5/6 + 11/18 + 1/3,
or, E(X) = 107/18.
Now, 6E(X) = 6*(107/18) = 107/3 = 35.67.
Since, the total return from the game is $35.67, which is less than the cost of $43, the game is not fair.
Learn more about expected return from a game at
#SPJ4
