Q:

A spinner game has a wheel with the numbers zero through 40 marked in equally spaced slots. Consider a $1 bet on a number from 1 to 40. If your number hits, you have $40 returned to you; otherwise, you lose your $1 bet. Find the expected return for this bet.

Accepted Solution

A:
Answer:Expected return for this bet = - $0.0243Step-by-step explanation:to find outthe expected return for this betsolutionwe know that Number of slots in the spinner Β is Number of slots in the spinner = 0 + 40 = 41 slotsso P for you winning is here Β = Β [tex]\frac{1}{41}[/tex]andWinning amount is = $40so we can say that Expected return for this bet is Β = Winning amount Γ— P (winning) - Cost of bet Β ...............................1put here value we get Expected return for this bet = $40 Β Γ— Β [tex]\frac{1}{41}[/tex] - 1Expected return for this bet = - $0.0243