QUESTION

# Show work! Suppose that a new state lottery game is developed with the following prizes and the number of tickets for each dollar prize:

Show work!

Suppose that a new state lottery game is developed with the following prizes and the number of tickets for each dollar prize:

Prize             of Tickets

$0 88,120$      1             11,000

$5 500$    10                  200

$20 100$   100                    50

$500 20$ 1000                    10

The cost of a ticket is $1 and there are a total of 100,000 tickets available. Answer each of the following questions: Question 1: What is the probability that an individual purchasing one ticket will win a prize of$1,000?

Question 2:     What is the probability that an individual purchasing one ticket will win $5 or more? Question 3: The actual return for purchasing one ticket must take into account the$1 spent to purchase the ticket. Keeping this in mind, what is the                                            probability that purchasing one ticket will yield a return of \$0?

Question 4:     What is the expected return when an individual purchases one lottery ticket in this game?