Solved

Heads and Tails Are Equally Likely but You Win $2

Question 34

Multiple Choice

Heads and tails are equally likely but you win $2.00 on heads and lose $1.00 on tails

A) the expected value is $0.50
B) the expected value is -$0.50
C) the expected value is $1.00
D) the expected value is $0.00

Related Questions

Q2: Three possibilities are equally likely and have

Q20: Three possibilities have probabilities 0.5,0.3 and 0.2

Q30: Which types of poor decisions are more

Q31: Four possibilities are equally likely and have

Q36: You want to run a difference-in-difference experiment

Q38: A "false negative" is<br>A)when you incorrectly conclude

Q39: You can invest $100,000 into either project

Q55: Four possibilities have probabilities 0.4,0.2,0.2 and 0.2

Q61: Six possibilities are equally likely and have

Q70: Four possibilities have probabilities 0.4,0.2,0.2 and 0.2