Gamble A has a 136 probability of winning 1600 and a 2536 pr

Gamble A has a 1/36 probability of winning $16.00 and a 25/36 probability of losing $ 1.50. Gamble B has a 35/36 probability of winning $4.00 and a 1/36 probability of losing $1.00.

Solution

Expected amount of winnings from Game A = (1/36)$16.00 - (25/36)$1.50 = -$0.60

Expected amount of winnings from Game B = (35/36) $4.00 -(1/36) $1.00 = $3.86

Note :- Please check if the probabilities for Game A have been given correctly.