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$3.00 Statistics or probability - need some help!
- From Mathematics: Statistics , Mathematics: Probability
- Closed, but you can still post tutorials
- Due on Jul. 25, 2009
- Asked on Jul. 22, 2009 at 02:56:21AM
Q:I have a box. That box has four bags in it. Each bag has a 100% of having at least one gem and a 20% chance of having 2 gems in it. The gems are any mix of the following 5 types: an opal, a diamond, a ruby, a sapphire, or an emerald. There is no higher chance for receiving one gem over another.
If opals, diamonds, and emeralds sell for $20 while rubies and sapphires sell for $8, what is the maximum price I should pay for the box of four bags to statistically break even?
What is the probability of getting a diamond in each box?
