Expected Value and Fair Games

Front

What is the expected value in a lottery game?

Back

The average amount of money a player can expect to win or lose in a single ticket.

Front

What is a fair game?

Back

A game where the expected value is zero.

Front

What is the expected value of the spinner if the outcomes are 1, 2, 3, 4, 5, 6 with equal probability?

Back

4.75.

Front

Given the probability model: X = 50, 20, 5 with P(X) = 0.1, 0.3, 0.6, what is the expected value?

Back

14.

Front

What is the expected value?

Back

The weighted average of all possible values of a random variable.

Front

How do you calculate expected value?

Back

Multiply each outcome by its probability and sum the results.

Front

What does it mean if a game has an expected value greater than zero?

Back

The player can expect to win money on average.

Front

What does it mean if a game has an expected value less than zero?

Back

The player can expect to lose money on average.

Front

What is the expected value of a fair coin toss game where you win $1 for heads and lose $1 for tails?

Back

$0.

Front

If a game has an expected value of zero, what can be said about the fairness of the game?

Back

The game is considered fair.