Question

when calculating expected values, what does the impact of outcome refer to?
a. the speed at which the outcome occurs
b. the quantitative effect or consequence of the outcome
c. the emotional effect of the outcome
d. the probability of the outcome happening

Explanation:

When calculating expected values in probability and statistics (a sub - field of Mathematics), the formula for the expected value \(E(X)=\sum_{i}x_ip_i\) where \(x_i\) is the value of the outcome (which represents the quantitative effect or consequence of the outcome) and \(p_i\) is the probability of that outcome. The “impact of outcome” in the context of expected value calculation refers to the numerical value associated with the outcome (its quantitative effect), not the speed (a), emotional effect (c) or probability (d) of the outcome.

Answer:

B. The quantitative effect or consequence of the outcome