Solve the problem.
-Ten thousand raffle tickets are sold. One first prize of $1600, 5 second prizes of $1000 each, and 10 third prizes of $200 each are to be awarded, with all winners selected randomly. If you are given
One ticket, what are your expected winnings?

Question

Quizplus · Accepted Answer

The expected winnings can be calculated by multiplying the value of each prize by the probability of winning that prize and then summing these values. The probability of winning the first prize is 1/10,000, for the second prize (since there are 5 of them) it's 5/10,000, and for the third prize (with 10 of them) it's 10/10,000. Thus, the expected winnings are: (1/10,000 * $1600) + (5/10,000 * $1000) + (10/10,000 * $200) = $0.16 + $0.50 + $0.20 = $0.86 or 86 cents.

Solve the Problem. -Ten Thousand Raffle Tickets Are Sold. One First Prize of First