Question

In a game, you have a 1/36 probability of winning $85 and a 35/36 probability of losing $4. What is your expected value?

Answer 1

The expected value 4

Answer 2

In 36 games you would win 1 and lose 35, so the total of all outcomes is 85-4×35=85-140=-55.
The expected value is the mean of these=-55/36=a loss of $1.53.