# For a fundraiser, 1000 raffle tickets are sold and the winner is chosen at random. There is

## Question:

(a) What is the probability you will win the prize of $500?

(b) Your expected earnings can be found by multiplying the value of the prize by the probability you will win the prize. What are your expected earnings?

(c) If a ticket costs $2, what is the difference between your “costs” and “expected earnings”? How much are you effectively contributing to the fundraiser?

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**Related Book For**

## Understanding Basic Statistics

**ISBN:** 9781111827021

6th Edition

**Authors:** Charles Henry Brase, Corrinne Pellillo Brase