Given
number of $1.00 bills = 3
number of $5.00 bills = 2
number of $10.00 bills = 6
number of $20.00 bills = 1
Find
expected gain
Explanation
Total number of bills = 3 + 2 + 6 + 1 = 12
P(X = 1) = 3/12 = 0.25
P(X = 5) = 2/12 = 0.1667
P(X = 10) = 6/12 = 0.5
P(X = 20) = 1/12 = 0.0833
so , the expected gain =
[tex]\sum_^xP(x)[/tex]therefore ,
E(X) =
[tex]\begin{gathered} 1\times0.25+5\times0.1667+10\times0.5+20\times0.0833 \\ 0.25+0.8335+5+1.666 \\ 7.75 \end{gathered}[/tex]Final Answer
Hence , the expected gain of Mark is 7.75
