Find the expected value.
-A fair coin is tossed three times,and a player wins $3 if 3 tails occur,wins $2 if 2 tails occur and loses $3 if no tails occur.If one tail occurs,no one wins.What is the expected value of the games?
A)$2.00
B)-$3.00
C)$3.00
D)$0.75

Question

Quizplus · Accepted Answer

The expected value is calculated by multiplying each outcome by its probability and summing these products. The probabilities are: 3 tails (1/8), 2 tails (3/8), 1 tail (3/8), and 0 tails (1/8). The expected value is: (1/8)*$3 + (3/8)*$2 + (3/8)*$0 + (1/8)*(-$3) = $0.75.

Find the Expected Value