Lesson 6.11
Bill is playing a game of chance with the following payout. 30% of the time you will lose 20 dollars, 20% of
the time you lose 40 dollars, 10% of the time you win 50 dollars, 40% of the time you win 5 dollars. Find the
expected value of the event and explain if Bill should play this game based on the mathematical expectation.

Bill should not play he Is bound to lose more money (-20)(0.3)+(-40)(0.2)+(50)(0.1)+(5)(0.4) = -7

Step-by-step explanation: 30% you of time you will lose 20 dollars

20% of time you will lose 40 dollars

10% of time you will win 50 dollars

40% of the time you will win 5 dollars

if you get paid hourly because if you get a salary you could work all week and only get paid a certain amount no matter how much you work but if you get paid hourly then you get paid for every minute you worked.