Texts: 37 In the game of roulette, when a player gives the casino $6 for a bet on the number 11, the player has a 1/38 chance of winning $360 and a 37/38 chance of losing the $6. The expected value can be calculated using the formula:
Expected value = (Probability of winning * Amount won) - (Probability of losing * Amount lost)
a. If a player bets $6 on the number 11, what is the player's expected value?
The expected value is ((1/38) * $360) - ((37/38) * $6) = -$0.32 dollars (Round to the nearest cent as needed.)
b. If a player bets $6 that the outcome is an odd number, what is the player's expected value?
The expected value is ((18/38) * $12) - ((20/38) * $6) = $0.32 dollars. (Round to the nearest cent as needed.)