Answer:
The expected value of the money she selects is 6.65.
Step-by-step explanation:
Expected value:
Sum of each outcome multiplied by its probability.
We have:
8 + 5 + 4 + 3 = 20 total bills.
8 are ones, so P(X = 1) = 8/20 = 0.4.
5 are fives, so P(X = 5) = 5/20 = 0.25.
4 are tens, so P(X = 10) = 4/20 = 0.2
3 are twenties, so P(X = 20) = 3/20 = 0.15.
What is the expected value of the money she selects?
[tex]E(X) = 0.4*1 + 0.25*5 + 0.2*10 + 0.15*20 = 6.65[/tex]
The expected value of the money she selects is 6.65.
