Question

which statement below correctly depicts the expected value of a fair game?
○ e(x) = 0
○ e(x) = 1
○ e(x) > 0
○ e(x) >1

Explanation:

In a fair game, on average, a player neither wins nor loses. The expected - value $E(X)$ represents the average outcome. So, for a fair game, the expected value is 0 as the gains and losses balance out over the long - run.

Answer:

$E(X) = 0$