In the casino game roulette players bet on which of 38 equally likely outcomes will occur on a single spin of the wheel. The probability of the ball landing on black is 18/38. If you bet $100 on black, which of the following is the best choice for your expected value?

a) - $5.26

b) + $5.26

c) + $52.63

d) - $52.63

e) 0.00

Answer is a) - $5.26, just not sure how to achieve that. I know it's asking to find the mean (mu).

Question

Mathematics

Angela Jarvis

26 December, 23:44

In the casino game roulette players bet on which of 38 equally likely outcomes will occur on a single spin of the wheel. The probability of the ball landing on black is 18/38. If you bet $100 on black, which of the following is the best choice for your expected value?

a) - $5.26

b) + $5.26

c) + $52.63

d) - $52.63

e) 0.00

Answer is a) - $5.26, just not sure how to achieve that. I know it's asking to find the mean (mu).

+5

Answers (1)

Know the Answer?

Levi Davies · Answer 1

We know that

P (winning) = 18/38

P (losing) = 1-18/38 = 20/38

Expected value = 100*18/38 - 100*20/38

1800/38 - 2000/38 = - 200/38 = - $5.26

the answer is the option a) - $5.26