Question
upstudy study bank question image url

In American roulette, the wheel has the 38 numbers, \( 00,0,1,2, \ldots, 34,35 \), and 36 , marked on equally spaced slots. If a player bets \( \$ 4 \) on a number and wins, then the player keeps \( \$ 4 \) and receives an additional \( \$ 140 \). Otherwise, the player is awarded nothing, and the casino takes the player's \( \$ 4 \). Find the expected value \( E(x) \) to the player for one play of the game. If \( x \) is the gain to a player in a game of chance, then \( E(x) \) is usually negative. This value gives the average amount per game the player can expect to lose. The expected value is \( \$ \square \). (Round to the nearest cent as needed.)

Ask by Nguyen Mathis. in the United States
Jan 21,2025

Real Tutor Solution

Tutor-Verified Answer

Answer

The expected value \( E(x) \) is \(-\$0.21\).

Solution

Sign in to Unlock Answers for Free!

A Learning Platform Trusted by Millions of Real Students and Teachers.

star-icon Unlock

Reviewed and approved by the UpStudy tutoring team

Extra Insights

To find the expected value \( E(x) \) in American roulette when betting on a single number, let's consider the two outcomes: 1. **Player wins**: The probability of this happening is \( \frac{1}{38} \) because there are 38 total slots. If the player wins, they gain \( \$140 \) plus their initial \( \$4 \), so their total gain is \( \$144 \). 2. **Player loses**: The probability of losing is \( \frac{37}{38} \). If the player loses, they lose their \( \$4 \). Now we can calculate the expected value: \[ E(x) = P(\text{win}) \cdot \text{Gain when win} + P(\text{lose}) \cdot \text{Loss when lose} \] \[ E(x) = \left(\frac{1}{38}\right) \cdot 144 + \left(\frac{37}{38}\right) \cdot (-4) \] \[ E(x) = \frac{144}{38} - \frac{148}{38} \] \[ E(x) = \frac{144 - 148}{38} = \frac{-4}{38} \approx -0.1053 \] This results in an expected value of approximately \( -0.11 \) when rounded to the nearest cent. Thus, the expected value is \( \$ -0.11 \).

Latest Probability Questions

Try Premium now!
Try Premium and ask Thoth AI unlimited math questions now!
Maybe later Go Premium
Study can be a real struggle
Why not UpStudy it?
Select your plan below
Premium

You can enjoy

Start now
  • Step-by-step explanations
  • 24/7 expert live tutors
  • Unlimited number of questions
  • No interruptions
  • Full access to Answer and Solution
  • Full Access to PDF Chat, UpStudy Chat, Browsing Chat
Basic

Totally free but limited

  • Limited Solution
Welcome to UpStudy!
Please sign in to continue the Thoth AI Chat journey
Continue with Email
Or continue with
By clicking “Sign in”, you agree to our Terms of Use & Privacy Policy