Question

Hi I have a question about this problem I am really confuse to do it

Answer 1

Part A)

1500 tickets ,

7 tickets $300

1 ticket $ 2500

then expected value is

EV = ( 7•300 + 1•2500 )/ number of tickets

EV = (2100 + 2500)/8 = 575

Expected value is $575

Part B)

there are 1000 tickets

5 tickets cost 100

1 ticket cost 2000

THEN expected value is

EV = (5•100 + 1•2000) / number of tickets

. = (500 + 2000)/ 6 = 2500/6 = 417

Part C)

1500 tickets x 10 = $15000

And

1000 tickets x 10= $10000