college algebra
Amy sets up a game in which she puts four $10bills and one $20 bill in one box. Blindly grabs one of the bills and keeps it. To break even on average, how much must she charge the player to play?
is it just 60-2o=40....so she would need to charge the player $20 to break even?
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Answers
Yes, that is correct. Since Amy has put a total of $60 into the box, she will need to charge the player $20 in order for her to break even on average. Each time the player chooses a bill, there is a 1 in 5 chance that they will choose the $20, meaning that on average, she will need to make back the $40 that she has put into the box.
