Clothing Sale At a special clothing sale at the Crescent

Chapter 12, Problem 12.1.192

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Clothing Sale At a special clothing sale at the Crescent Oaks Country Club, after the cashier rings up your purchase, you select a slip of paper from a box. The slip of paper indicates the dollar amount, either $5 or $10, that is deducted from your purchase price. The probability of selecting a slip indicating $5 is 7 10, and the probability of selecting a slip indicating $10 is 3 10. If your original purchase before you select the slip of paper is $200, determine a) the expected dollar amount to be deducted from your purchase. b) the expected dollar amount you will pay for your purchase.

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