Mathematics for Liberal Arts

posted by .

You are on a TV show. You have been asked to either play a dice game five times or accept a $50 bill. The dice game works like this:

If you roll a 1, 2 or 3, you win $46.

If you roll a 4 or 5, you lose $22.

If you roll a 6, you lose $85.

Should you play the game? Use expected values and decision theory to justify your answer. (Round the answer to the nearest cent.)

  • Mathematics for Liberal Arts -

    The expected winning per game is
    (1/2)*46 - (1/3)*22 - (1/6)*85

    If that is positive, play the game

  • Mathematics for Liberal Arts -

    Take the $50 and quit.

    (Each game as outlined by drwls has an expected value of $1.50.
    You are playing it 5 times, so the expected return is $7.50.
    Your choice was to either accept $50 or play the game)

  • Mathematics for Liberal Arts -

    Reiny is correct. I assumed you were betting your own money. I didn't read all the question.

Respond to this Question

First Name
School Subject
Your Answer

Similar Questions

  1. English expression

    There is only one die in playing the dice game. They are supposed to work in pairs in the dice game. Which expressions are correct?
  2. English

    Playing the dice game, have a conversation about what you must do and what you must not do at each place. After that write down the rules as in the example. You should work in pairs. One should roll the dice and according to the number …
  3. English

    Roll the dice. If you get 3 on the face of the dice, move forward for 3 spaces. Roll the dice. If you have 3 on the face of the dice, move forward for 3 spaces. Roll the dice. If you get Number 3 on the face of the dice, move forward …
  4. Programming Logic

    I need to create a flowchart/psuedocode for a dice game that give you 2 rolls with 5 dice, 3 rolls per game. the computer will roll the 4 dice and calculate your score. my question is...do i need to repeat this 3 times and can i use …
  5. ALGEBRA

    Dice is a popular game in gambling casinos. Two dice are tossed, and various amounts are paid according to the outcome. In a certain game, if a four or eleven occurs on the first roll, the player wins. What is the probability of winning …
  6. ALGEBRA

    Dice is a popular game in gambling casinos. Two dice are tossed, and various amounts are paid according to the outcome. In a certain game, if a four or eleven occurs on the first roll, the player wins. What is the probability of winning …
  7. Algebra

    You are a contestant on a game show and have the chance to win a car by rolling 5 dice. Each die has three sides that say CAR and three sides that are blank. In order for you to win the car you CAR on all five dice. You have three …
  8. math

    Dice is a popular game in gambling casinos. Two dice are tossed, and various amounts are paid according to the outcome. In a certain game, if a twelve or five occurs on the first roll, the player wins. What is the probability of winning …
  9. Math

    At this year's State Fair, there was a dice rolling game. If you rolled two dice and got a sum of 2 or 12, you won $20. If you rolled a 7,you won $5. Any other roll was a loss. It cost $3 to play one game with one roll of the dice. …
  10. Prob

    A game is played using three 6-sided dice. You throw these dice one time and if the dice all show the same number ( triples), you win $ 40.00 . For this game to be “fair”, how much should a person pay to play this game ?

More Similar Questions