Probability with weights.Each percent assocaited with cost

[love_densie]

If finding a thing associated with cost(weight) for each divided probability. How to calculate overall cost for finding..

Ex:
0.4 Probability --- $0
0.2 Probability --- $5
0.3 Probability --- $7
0.1 Probability --- $13
Whats the overall cost associated for finding thing.


Any help is highly appreciated.

 

[Deleted member 4993]

If finding a thing associated with cost(weight) for each divided probability. How to calculate overall cost for finding..

Ex:
0.4 Probability --- $0
0.2 Probability --- $5
0.3 Probability --- $7
0.1 Probability --- $13
Whats the overall cost associated for finding thing.


Any help is highly appreciated.

What is the definition of "expected value" in statistics?

 

[love_densie]

Thanks for reply ..

Are you saying, it is something to do with sample mean.(I am not much good at math).

In that case,

(4*0+2*5+3*7+1*13) / 10 = 44/10 = 4.4

But the answer is 6.0, How come??

 

[cellobabee]

It's my understanding that you have x, and the prob of (x). you have to determine what the x is - usually the price.

$0, 5, 7, 13

p(x) is the percentages.

i think you multiply the p(x) times x for each value of x and then add the sum of it all to give you the weighted average. i hope someone else reads this just in case it's not correct!