Question: Keno In a game of 4-Spot Keno, the player picks 4 numbers from 1 to 80. The casino randomly selects 20 winning numbers from 1 to 80. The table below shows the possible outcomes of the game and their probabilities, along with the amount of money (Payout) that the player wins for a $1 bet. If X = the payout for a single $1 bet, you can check that μX = $0.70 and σX = $6.58.
(a) Interpret the values of mX and sX in context.
(b) Jerry places a single $5 bet on 4-Spot Keno. Find the expected value and the standard deviation of his winnings.
(c) Marla plays five games of 4-Spot Keno, betting $1 each time. Find the expected value and the standard deviation of her total winnings.
(d) Based on your answers to (b) and (c), which player would the casino prefer? Justify your answer.