You have R500. You are approached by a person that offers you a game. You flip...

You have R500. You are approached by a person that offers you a game. You flip a coin and if it’s heads you win R450 and if it’s tails you win R50. He says it costs R250 to play each round. You decide to play 2 rounds (so you spend your full R500). Calculate the expected return and standard deviation of playing the game 2 times.

Please include explanation for each step

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orchestra answered 1 year ago

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