Answer
$80$
Work Step by Step
By definition, the expected value is the sum of each outcome multiplied by its probability. Hence here the expected value: $0.002\cdot(-10,000+100)+(1-0.002)\cdot100=80$.
Thinking Mathematically (6th Edition)
by Blitzer, Robert F.
Published by
Pearson
ISBN 10:
0321867327
ISBN 13:
978-0-32186-732-2
Chapter 11 - Counting Methods and Probability Theory - 11.8 Expected Value - Exercise Set 11.8 - Page 755: 8
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