Which best and most accurately describes what an expected value is?
A. an average rate of change
B. a conditional probability
C. an average
D. the probability that an event does not take place e. an average value that we expect to observe in the long-run f. the standard deviation of an expected numerical value
2. A casino game results in two possible outcomes: you either win $100 with 1% probability or you lose $5 with 99% probability. What is your expected value as the player of the game?
3. In a small suburban community, there is a 9% chance that a train comes through town at any given time. If a train does come through, there is a 54% chance it causes a traffic jam. The probability that a train does not come through and that there is simultaneously no traffic jam is 40%. Given that a train does not come through, what is the probability there will be a traffic jam, anyway? Give your answer as a decimal rounded to three decimal places.
4. If you choose to watch three movies on Netflix, in how many different ways can you view them, assuming you will view each one only once?