Question
Melissa has a deck of cards numbered 1 through 10. She is playing a game of chance. This game is this: Melissa chooses one card
Melissa has a deck of cards numbered 1 through 10. She is playing a game of chance. This game is this: Melissa chooses one card from the deck at random. She wins an amount of money equal to the value of the card if an even-numbered card is drawn. She loses $3.50 if an odd-numbered card is drawn. (a) Find the expected value of playing the game. (b) What can Melissa expect in the long run, after playing the game many times? (She replaces the card in the deck each time.) Melissa can expect to gain money. Melissa can expect to lose money. Melissa can expect to break even (neither gain nor lose money).
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