Many casinos have a game called the Big Six Money whee which has 54 s ots in wh

Question

Many casinos have a game called the Big Six Money whee which has 54 s ots in wh ch are disp ayac a oker h casino go, a various dallar amounts as shown in hea e att to of te next column Players may bet on the Joker, the casino logo, or one or more dollar denominations. The wheel is spun and if the wheel stops on the same place as the player's bet, the player wins that amount for each dollar bet. DenominationNumber of slots $40 (Joker) $40 (Casino logo) $20 $10 S5 S2 S1 4 24 If a player bets $1 on the Casino lago cenomination, find the player's expectation. (Round your answer to two decimal places.) $0.52

Explanation / Answer

Let X is a random variable shows the winning amount. Since player bet on Casino logo so either he will win $40-$1=$39 or loss -$1. The probability of winning Casino logo is

P(casino logo) = 1/54

So

P(X=$39) = 1/54

P(X=-$1) = 53/54

The expected value is

E(X) =$39* P(X=$39) +(-$1) *P(X=-$1) = 39 * (1/54) + (-1) *(53/54) = -$0.26

Related Questions

Navigate

• Browse (All)
• Browse M
• Subjects

---

---

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.