A service organization in a large town organizes a raffle each month. One thousand raffle tickets are sold for $1 each. Each has an equal chance of winning. First prize is $300, second prize is $200, and third prize is $100. Let X denote the net gain from the purchase of one ticket. a. Construct the probability distribution of X. b. Find the probability of winning any money in the purchase of one ticket. c. Find the expected value of X, and interpret its meaning.
A service organization in a large town organizes a raffle each month. One thousand raffle tickets are sold for $1 each. Each has an equal chance of winning. First prize is $300, second prize is $200, and third prize is $100. Let X denote the net gain from the purchase of one ticket. a. Construct the probability distribution of X. b. Find the probability of winning any money in the purchase of one ticket. c. Find the expected value of X, and interpret its meaning.
Chapter8: Sequences, Series,and Probability
Section8.7: Probability
Problem 50E: Flexible Work Hours In a recent survey, people were asked whether they would prefer to work flexible...
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THIS IS ABOUT RANDOM VARIABLES
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Transcribed Image Text:A service organization in a large town organizes a raffle each month. One thousand raffle tickets are
sold for $1 each. Each has an equal chance of winning. First prize is $300, second prize is $200, and
third prize is $100. Let X denote the net gain from the purchase of one ticket.
a. Construct the probability distribution of X.
b. Find the probability of winning any money in the purchase of one ticket.
c. Find the expected value of X, and interpret its meaning.
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