Question

Question 2

Given the following probability distribution, what is the expected value?

Outcome	P(Outcome)
20	0.15
1	0.15
19	0.10
2	0.09
17	0.51

Round to 3 decimal places as needed.

Question 3

Brandybuck Insurance Company (BIC) is deciding whether to insure the lives of those leading a quest to Moria. Based on past experience, the probability of surviving such a quest is 83.4%. If BIC charges a premium of 8,565 silver coins and would pay a death benefit of 54,256 silver coins if the insured were to die, what is the expected value of this insurance policy to BIC?

Round to the nearest silver coin as needed. If the expected value is a loss to BIC, enter your answer as a negative number.

Question 4

Phil Dunphy, a real estate agent, is considering whether he should list an unusual $367,430 house for sale. If he lists it, he will need to spend $5,594 in advertising, staging, and fresh cookies. The current owner has given Phil 6 months to sell the house. If he sells it, he will receive a commission of $24,845. If he is unable to sell the house, he will lose the listing and his expenses. Phil estimates the probability of selling this house in 6 months to be 36%. What is the expected profit on this listing?

Question 5

A new game is being introduced at the Hard Rock Cafe. A ball is spun around a wheel until it comes to rest in one of many spots. Whatever is listed in that spot will be the player's winnings. If the wheel has 14 spots labeled $1, 7 spots labeled $2, and 2 spots labeled $10, how much should a player expect to win on average?

Round to the nearest cent.

Question 6

A raffle is being held to benefit the local animal shelter. They sell 540 tickets that do not win any prize, 11 tickets that win a free adoption (valued at $20), and one ticket that wins $149 worth of pet supplies and toys. If they are selling the tickets for $5 each, how much should the shelter expect to earn for each ticket sold?

Round to the nearest cent, as needed.

Answer 1

Please post the other questions separately. As per our answering guidelines we are supposed to answer just one question or four sub parts of the same question.