Find the expected value of the winnings from a game that has the following payout probability distribution: payout (s) 0 2 4 8 10 probability 0.45 0.3 0.1 0.1 0.05 expected value =[?]

Answers

The expected value is 2.3 if the payout probability distribution is payout 0 2 4 8 10 probability 0.45 0.3 0.1 0.1 0.05.

According to the given question.

We have the payout probability distribution.

payout(s): 0 2 4 8 10

Probability: 0.45 0.3 0.1 0.1 0.05

Multiply payout to probability such that:

0×0.45 = 0

2 × 0.3 = 0.6

4 × 0.1 = 0.4

8 × 0.1 = 0.8

10 × 0.05 = 0.5

Therefore, the expected value of the winnings from a game with the given payout probability distribution is

= 0 + 0.6 + 0.4 + 0.8 + 0.5

=2.3

Thus, the expected value is 2.3 if the payout probability distribution is payout 0 2 4 8 10 probability 0.45 0.3 0.1 0.1 0.05.

Find out more information about expected value here:

expected valueis 2.3 if the payout probability distribution is payout 0 2 4 8 10 probability 0.45 0.3 0.1 0.1 0.05.expected valueof the winnings from a game with the given payout probability distribution isexpected valueis 2.3 if the payout probability distribution is payout 0 2 4 8 10 probability 0.45 0.3 0.1 0.1 0.05.expected valuehere: