Answer to Question #180128 in Statistics and Probability for wix

Question

Mwema plays a game in which a fair die is thrown once. If the score is 1,2or 3 Mwema loses £10. If the score is 4 or 5 Mwema wins £x..If the score is 6, Mwema wins £2x.

Answer 1

The probability distribution for Mwema is given by-

Then Expected amount of wins/loss =$\dfrac{-10}{2}+\dfrac{x}{3}+\dfrac{2x}{6}$

$=\dfrac{2x}{3}-5$

Since He does not get any profit so,

$\dfrac{2x}{3}-5=0$

$\Rightarrow x=7.5$

Hence The value of x is 7.5.