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Question

In a game, a man wins Rs. 100 if he gets 5 or 6 on a throw of a fair die and loses Rs. 50 for getting any other number on the die. If he decides to throw the die either till he gets a five or a six or to a maximum of three throws, then his expected gain/loss (in rupees) is :

A
4009 loss
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B
4003 loss
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C
4003 gain
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D
0
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Solution

The correct option is D 0
A: Event that 5 or 6 appear on die.
B: Event that any other number appear on die.
Therefore, following events are possible.
A,BA,BBA,BBB
X: Random variable denoting the amount won.
X+100+500150P(X)1329427827

E(X)=1003+1009+0120027=0

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