Mathematics, 14.04.2020 22:03 Dweath50
Derrick is playing a carnival game. The cost for each turn is $1.50. If Derrick wins a turn, he gets $5.00 back, and if he loses, he gets nothing back. The probability of Derrick winning any one turn is 32%. Derrick only wants to play the game if he can expect to win money over many turns. Should Derrick play, and for what reason?
A) No, because on average, Derrick can expect to come out behind by $0.10 per turn.
B) No, because on average, Derrick can expect to come out behind by $0.58 per turn.
C) Yes, because on average, Derrick can expect to come out ahead by $0.10 per turn.
D) Yes, because on average, Derrick can expect to come out ahead by $0.42 per turn.
Answers: 1
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