Theoretical Probabilities for a Random Variable HSS.MD.A.3 Grade 10 SBAC Practice Test Questions TOC | Lumos Learning

Theoretical Probabilities for a Random Variable HSS.MD.A.3 Question & Answer Key Resources Lumos StepUp - Smarter Balanced Online Practice and Assessments - Grade 10 Mathematics

Lumos StepUp - Smarter Balanced Online Practice and Assessments - Grade 10 Mathematics Theoretical Probabilities for a Random Variable

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Your investment manager has encouraged you to buy some stock in a new company that he predicts will do well. The stock right now is $5 per share and is predicted to leap to $20 per share within a few years. If the stock's price is truly random, then the price of the stock could just as easily fall to $0. What is the expected value of investing $1000?

Resource: Question

Question Type: Multiple Choice - Single Answer

Standard(s):HSS.MD.A.3

Standard Description: Develop a probability distribution for a random variable defined for a sample space in which theoretical probabilities can be calculated; find the expected value. For example, find the theoretical probability distribution for the number of correct answers obtained by guessing on all five questions of a multiple-choice test where each question has four choices, and find the expected grade under various grading schemes.

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