Question

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

Explanation:

When calculating expected values in probability (a sub - field of Mathematics, specifically Statistics), the formula for the expected value \(E(X)\) of a discrete random variable \(X\) is \(E(X)=\sum_{i}x_ip_i\), 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. Option a (emotional effect) is not relevant in a quantitative probability calculation. Option c is the probability (\(p_i\) in the formula), not the impact of the outcome. Option d (speed of occurrence) is not part of the expected - value formula.

Answer:

B. The quantitative effect or consequence of the outcome