Computing Expected Value

By Author: Pierce Brosnan
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Introduction of computing expected value:

Calculation of expected value is nothing but the problem that has many possibilities of happening (i.e.) the expected value for the specific problem. Computing of expected value can be obviously explaining you through the probability area in math; hence the probability has many possibilities of solutions. Thus, the dice and coins play a significant role to help you better in expected value.

Computing Expected Value in Probability:

The probability is the probable outcomes, which contributes you mostly the expectation of the solutions. In probability when a dice are thrown (put), they would expect the numbers that is going to highlighted this is common because the dice would have the model space of {1, 2, 3, 4, 5, 6}.

Thus, the possible products will be within “number 6”. When we consider a coin in probability, the possible outcomes will be Head or tail. Therefore, when we toss a coin we would expect that the outcome is head or tail; this is nothing but the expectation of a value. Let us explain you the computing of expected value during the mathematical ...
... term probability.

Examples of Computing Expected Value:

Computing expected value Example:

You draw one card from a standard deck of playing cards. If you pick a heart, you will win$14. If you pick a face card, which is not a heart, you win $12. If you pick any other card, you lose $9. Do you want to pay?

Computing expected value Solution:

Let X be the random variable that takes on the value s 14, 12 and –9, the values of the winnings. First, we calculate the following probabilities:

P(X = 14) = 13/52

P(X = 12) =9/52

P(X = -9) = 30/52

The expected value of the game is

E(X) = P(X = 14)*14+ P(X = 12)*12- P(X = -9)*9

= (13/52)*14+ (9/52)*12-(30/52)*9

= (182+108-270)/52

=20/52

Therefore computing the expected value is 20/52

Practice problems of computing expected value:

At Tucson Raceway Park, your horse, Soon-to-be-Glue, has a probability of 1/20 of coming in first place, a probability of 1/10 of coming in second place, and a probability of¼ of coming in third place. First place pays $4,500 to the winner, second place $3,500 and third place $1,500. Is it worthwhile to enter the race if it costs $1,000?

Answer: $ 81000

You pay $10 to play the following game of chance. There is a bag containing 12 balls, five are red, three are green and the rest are yellow. You are to draw one ball from the bag. You will win $14 if you draw a red ball and you will win $12 is you draw a yellow ball. How much do you expect to win or loss if you play this game 100 times?

Answer: You should expect to lose $16.67 after one-hundred games.

The concept of probability and or happens when we need to find the probability of compound events . When we need to find the probability of two or more events occurrence then we need to multiply the events which is known as probability and. Similarly for the probability of occurrence either this event or that event we need to add those events . This is known as probability or.

Comprehend more on about equation of the line and its Circumstances. Between, if you have problem on these topics Reflection In Math, Please talk about your thinking.