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 (a sub - field of Mathematics, specifically Statistics), the formula for the expected value \(E(X)=\sum_{i}x_ip_i\), where \(x_i\) is the value (quantitative effect or consequence) of the \(i\) - th outcome and \(p_i\) is its probability. The "impact of outcome" refers to the \(x_i\) part, which is a quantitative measure. Option a (speed) is not relevant in the formula for expected value. Option c (emotional effect) is not a part of the standard statistical calculation. Option d is the probability (\(p_i\)) which is a separate component from the impact of the outcome.

Answer:

B. The quantitative effect or consequence of the outcome