Expected Value Review

You are considering a game where you pay $5 to roll a die with the promise of receiving $10 if you roll a 6. What is the expected value of playing this game?

• -$2.50

• -$3.33

• $0

• $5

Tags

CCSS.HSS.MD.B.5A

In a lottery, 1000 tickets are sold for $1 each. One winning ticket is drawn, and the prize is $500. What is the expected value of buying one ticket?

• -$0.50

• $0

• $0.50

• $1

Tags

CCSS.HSS.MD.B.5A

A bag contains 3 red marbles, 2 blue marbles, and 5 green marbles. If a person wins $2 for selecting a red marble and loses $1 for any other color, what is the expected value of the amount won or lost?

• $0.10

• -$0.10

• $0.50

• -$0.50

Tags

CCSS.HSS.MD.B.5A

If the probability of a software startup succeeding is 0.20 and the potential profit in case of success is $200,000, while the loss if it fails is $50,000. What is the expected value of the startup's outcome?

• $10,000

• $30,000

• -$10,000

• -$30,000

Tags

CCSS.HSS.MD.A.2

A game involves flipping a fair coin. If it lands heads, you win $10; if tails, you lose $5. What is the expected value of the game?

• $2.50

• $5

• -$2.50

• $0

Tags

CCSS.HSS.MD.B.5A

A stock investment has a 70% chance of increasing by $100 and a 30% of losing $50. What is the expected value of the investment's change in value?

• $55

• $65

• $75

• $85

Tags

CCSS.HSS.MD.A.2

A quiz game has three questions. Each correct answer scores 5 points, and each wrong answer scores 0 points. If a player guesses all answers, assuming a 50% chance of getting each question right, what is the expected score?

• 7.5

• 10

• 12.5

• 15

Tags

CCSS.HSS.MD.A.2

A company is considering a project that has a 60% chance of bringing a profit of $500,000 and a 40% chance of losing $300,000. What is the expected value of the project's financial outcome?

• $180,000

• $200,000

• $220,000

• $240,000

Tags

CCSS.HSS.MD.A.2