Suppose That You Randomly Pick a Digit 0 Through 9 $5$

question 32

Multiple Choice

Suppose that you randomly pick a digit 0 through 9. You will be paid $ $5$ if you select a prime number. You will not receive anything for any other outcome. How much should you be willing to pay for the privilege of playing this game, to the nearest cent?

• A) $2.50
• B) $2.18
• C) $2.34
• D) $2.82
• E) $2.66

---

Definitions:

Gross Method

An accounting method for recording purchases at the full invoice price without deducting any cash discounts offered.

Net Method

An accounting technique that records purchases after discounts, where the purchase price is reduced by the expected discount amount.

Journal Entries

Journal entries are the foundational recordings of all financial transactions in the double-entry bookkeeping system, indicating debits and credits to accounts.

Normal Balance

The side (debit or credit) of an accounting ledger where increases are recorded, reflecting the natural balance of an account.