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Expected Value: Assume that later on in life, things work out so that you have more...

Expected Value:

Assume that later on in life, things work out so that you have more than enough money in your retirement savings to take care of your needs and beyond, and that you truly don’t have a need for any more money. Someone offers you the chance to play a one-time game where you have a 3/4 chance of doubling your money, and a 1/4 chance of losing it all. If you initially have N dollars, what is the expectation value of your resulting amount of money if you play the game? Would you want to play it?

Math   Statistics-And-Probability   
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