Answer:
Step-by-step explanation:
Given that a charity is holding a raffle to raise money.
Car is the gift offered and the car is worth 30000
Tickets sold = 5000
Out of 500 tickets one ticket would fetch the car worth 30000 dollars
and five gift cards will bring 100 dollars
Thus we have               Total
Tickets     1      5    4994    5000
Gain     30000    100     0
Cost        20    20    20
Net gain  29980    80    -20
Prob      1/5000  5/5000  4994/5000
Expected value for a ticket = [tex]29980(1/5000)+80*5(5/5000)-20(4994/5000[/tex]
=5.996+0.4-19.976
=-13.58
i.e. expected gain by participation=expectedvalue of ticket =-13.58
This negative indicates that the game is at the advantage of the charity conducting raffle and not for the participants
