Suppose Jack and Kate are at the town fair and are choosing which game to play. The first game has a bag with four marbles in it-1 red marble and 3 blue ones. The player draws one marble from the bag; if it is red, they win $20 and if it is blue, they win $1. The second game has a bag with 10 marbles in it-1 red, 4 blue, and 5 green. The player draws one marble from the bag; if it is red, they win $20; if it is blue, they win $5; and if it is green, they win $1. Both games cost $5 to play. What is the expected value of the payoff in the first game?
A. $5.75
B. $5.00
C. $4.75
D. $4.50
A. $5.75
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The major drawback of a price ceiling is
A. it causes a surplus. B. government regulations of this kind are difficult to enforce. C. it causes a shortage. D. there is no drawback.
Refer to Table 14-8. Which of the following is true?
A) Brawny Juice's dominant strategy is to select a high price. B) Power Fuel does not have a dominant strategy. C) Power Fuel's dominant strategy is to select a low price. D) Brawny Juice does not have a dominant strategy.
The presumption that ability breeds economic success finds empirical support
Indicate whether the statement is true or false
Corrina just graduated from college, is unemployed, and looking for her first real job. This is an example of
A) frictional unemployment. B) structural unemployment. C) seasonal unemployment. D) cyclical unemployment.