Scholarship A is worth $3000 and costs $10 to apply. Scholarship B is worth $5000 and costs $25 to apply. You have a 4% chance of receiving Scholarship A and a 2% chance of receiving the Scholarship B.
I can't figure out (b) can someone help I thought it was 25 but it's not.
(a) What is your expected value for Scholarship A?
$ 110
(b) What is your expected value for Scholarship B?
$ _____________
(c) You can only apply for one scholarship. Which one should you choose?
🗸 Scholarship A
____ Scholarship B