Posted by **Shay** on Sunday, July 10, 2011 at 6:18pm.

A raffle has a $500 first prize, two $100 second prizes and five $25 third prizes. If 500 tickets are sold for $5 each find the expected value of buying a single ticket.

- math -
**bobpursley**, Sunday, July 10, 2011 at 6:22pm
EV=500*(1/500)+100(2/500)+25(5/500)

That is the EV of the prizes, technically, one then should subtract the $5 cost of the ticket, yielding EV of buying a ticket.

EV=1+.40+.25-5=-3.35

## Answer This Question

## Related Questions

- Math - it cost $2 to buy a raffle ticket. if there are 500 tickets sold, and ...
- stats math - Suppose you are selling raffle tickets for $3.00 each. You have the...
- Math - Volunteers working to raise funds for a new community library sold 1000 ...
- College Math - Volunteers working to raise funds for a new community library ...
- math - Ten thousand raffle tickets are sold. 1 first prize of $1800, 3 second ...
- Math - Debra is buying prizes for a game at her school's fundraiser. The game ...
- Math - A lottery has a grand prize of $180,000, two runner-up prizes of $22,500 ...
- math problem - In a raffle 1000 tickets are being sold at $1.00 each. the first ...
- Math - In a raffle, the prizes that can be won are as follows: 25 gift ...
- Statistics - There is a $2 raffle with a first prize of $10000, a second prize ...

More Related Questions