What does 10 cents on average mean?
Imagine you have a fishbowl filled with 1,000 unscratched lottery tickets.
Imagine each ticket gives you a 1 in 1,000 chance to win $100
Imagine, just as the chances say, 1 ticket is a winner worth $100.00, and the other 999 tickets are losers worth $0.
OK, then you have 1,000 tickets worth, altogether, $100.
So, each ticket is worth 10 cents, on average, because $100/1,000 = 10 cents.
Expected Value (EV)
In math, another name for the average worth of an unscratched lottery ticket is expected value or EV.
A lottery ticket that has an EV of 10 cents is worth 10 cents, on average.
So, in Paybuyer, we say that buyers are paid 10 cents EV per ad that they view.
Today's Total
Today’s Total tells you how much your daily tally of lottery tickets is worth, on average.
You can see all the tickets you have received in your Manage Account page.
Formula for the EV of a lottery ticket
How do you know what a lottery ticket is worth before you find out if it's a winner or loser?
You calculate its EV (average value) using this formula:
EV = (the probability that the ticket will be a winner) x (the prize you can win)
For instance:
- If ticket has a 1/1,000 probability of being a winner and has a $100 prize then:
- EV = 1/1,000 x $100 = $0.10 or 10 cents.
