Answered: expected value and variance of a…

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expected value and variance of a participant’s net earnings

Calculus For The Life Sciences

2nd Edition

ISBN:9780321964038

Author:GREENWELL, Raymond N., RITCHEY, Nathan P., Lial, Margaret L.

Publisher:GREENWELL, Raymond N., RITCHEY, Nathan P., Lial, Margaret L.

Chapter12: Probability

Section12.CR: Chapter 12 Review

Problem 14CR

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Question

In a fishing event, a small lake is populated with 75 trouts, among which 25 are tagged. Each participant is allowed to capture 5 fish during the day (the fish are not put back into the lake). For each tagged fish, the participant wins 10$, and for each non-tagged fish, the participant wins 2$. However, it costs 25$ to participate in this event. Find the expected value and variance of a participant’s net earnings. (Assume for simplicity that there’s only one participant, so nobody else is fishing at the same time.

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