Suppose you pay $3.00 to roll a fair die with the understanding that you will get back $5.00 for rolling a 1 or a 6, nothing otherwise. What is your expected value?

Answer 1

-3 + 1/3 * 5 = ?

Answer 2

-1.33?

Answer 3

yes. or, to be more exact, -4/3

Answer 4

Thank you!