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Calculating expected payoff for a gambler

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If a gambler rolls two dice and gets a sum of four, he wins $10; and if he gets a sum of three, he wins $25. The cost to play the game is $5. What is the expectation of this game?

Place your answer, rounded to two decimal places, in the blank. However, if the expected payoff is negative be sure to use a minus sign. For example, -1.23 would be a legitimate entry.

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Solution Summary

The solution describes the steps for calculating expected payoff in gambling game.

Solution provided by:
Lokesh Jain, MSc
Education
  • BEng (Hons) , Birla Institute of Technology and Science, India
  • MSc (Hons) , Birla Institute of Technology and Science, India
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