Expected value in excel

1. How do you calculate expected value in Excel?
2. What is the formula for expected value?
3. Which function in Excel returns the expected value of the variable?

How do you calculate expected value in Excel?

To calculate expected value, you want to sum up the products of the X's (Column A) times their probabilities (Column B). Start in cell C4 and type =B4*A4. Then drag that cell down to cell C9 and do the auto fill; this gives us each of the individual expected values, as shown below.

What is the formula for expected value?

To find the expected value, E(X), or mean μ of a discrete random variable X, simply multiply each value of the random variable by its probability and add the products. The formula is given as E ( X ) = μ = ∑ x P ( x ) .

Which function in Excel returns the expected value of the variable?

The IF function is one of the most popular functions in Excel, and it allows you to make logical comparisons between a value and what you expect.