# Expected value table

Printer-friendly version. Expected Value (i.e., Mean) of a Discrete Random Variable. Law of Large Numbers: Given a large number of repeated trials, the average. Knowing how to calculate expected value can be useful in numerical statistics, in You should either list these or create a table to help define the results. Expected Value (i.e., Mean) of a Discrete Random Variable. Law of Large Numbers: Given a large number of repeated trials, the average of the results will be.
If we use the probability mass function and summation notation, then we can more compactly write this formula as follows, where the summation is taken over the index i:. Multiply the value of each card times its respective probability. It is known as a weighted average because it takes into account the probability of each outcome and weighs it accordingly. As with any EV problem, you must begin by defining all possible outcomes. Calculating EV is a very useful tool in investments and stock market predictions. In what follows we will see how to use the formula for expected value. This is in contrast to an unweighted average which would not take into account the probability of each outcome and weigh each possibility equally. If we use the probability mass function and summation notation, then we can more compactly write this formula as follows, where the summation is taken over the index i:. You can think of an expected value as a mean , or average , for a probability distribution. Let's say that we repeat this experiment over and over again. In the bottom row, put your odds of winning or losing. One-Way Analysis of Variance ANOVA Lesson To calculate the standard deviation we first must calculate the variance. The math behind this kind of expected value is: Hypothesis Testing Lesson 9: It is known as a weighted average because it takes into account the probability of each outcome and weighs it accordingly. Thus, over time you should expect to lose money. Expected values for binomial random variables i.

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