ACT Math Practice Question #1468 (Medium (32)) | Test Citadel
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ACT Math Difficulty: Medium (32)

Digital ACT Math Practice Question #1468

Test your problem-solving accuracy on this official-caliber item. Select an answer choice to check your reasoning instantly.

A lottery scratch-off ticket costs $2. The probabilities of winning various cash prizes are: $50 with probability 0.01, $10 with probability 0.05, and $2 with probability 0.20. All other tickets win $0. What is the expected net value of purchasing one ticket?
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Payout = 0.50 + 0.50 + 0.40 = $1.40. Net = 1.40 - 2.00 = -$0.60.

Masterclass Solution & Distractor Trap Analysis

Expected payout = 0.01(50) + 0.05(10) + 0.20(2) = $0.50 + $0.50 + $0.40 = $1.40. Expected net value = $1.40 - $2.00 = -$0.60 (a net loss of 60 cents)....

Distractor Analysis: Trap choice eliminates careless test-takers who confuse roots with coordinates...

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