Hong has a bag with 8 balls numbered 1 through 8. He is playing a game of chance. This game is this: Hong chooses one ball from

Question

Hong has a bag with 8 balls numbered 1 through 8. He is playing a game of chance.
This game is this: Hong chooses one ball from the bag at random. He wins $1 if the number 1 is selected, $2 if the number 2 is selected, $5 if the number 3 is selected, $6 if the number 4 is selected, $8 if the number 5 is selected, and $10 if the number 6 is selected. He loses $14 if 7 or 8 is selected.
(a) Find the expected value of playing the game.
(b) What can Hong expect in the long run, after playing the game many times?
(He replaces the ball in the bag each time.)
Hong can expect to gain money.
He can expect to win dollars per selection.
Hong can expect to lose money.
He can expect to lose dollars per selection.
Hong can expect to break even (neither gain nor lose money).

Kunduz · Accepted Answer

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