Which of the following best explains the idea of the expected value of a risky bet?
A) The amount of money you should expect to make from the bet.
B) The amount of money that you are most likely to get from the bet.
C) The amount of money you will probably get from the bet, minus the amount of money you paid to make the bet.
D) The amount of money you should expect to make, on average, if you made bets like this over and over again for a long time.

Question

Quizplus · Accepted Answer

The expected value of a risky bet is a statistical concept that represents the average amount one would win or lose per bet if the bet were repeated many times. It takes into account all possible outcomes and their probabilities, not just the most likely outcome or the outcome of a single bet.

Which of the Following Best Explains the Idea of the Expected