... where E is constant, but O is not set, therefore P is infinite. Case 3 can be represented by a draw, where E is set, and both O and P are known. A process of linear regression will be used to determine the actual relationship between P and O for each game. Analysis Case 1 The lottery chosen is from Ontario, lotto 649. The player pays $1 to enter the game, and then chooses 6 non-repeating numbers from 1 to 49. Thus the number of possible combinations a player can choose equals. 6 numbers are drawn and the payout scheme is shown below in Table 1: (This data is from the January 12th 2002 drawing; although it is only one sample of data, it is an accurate representation of the average value of prizes) Table 1: Lotto 649 Data Results Odds Prize 6/6 1/10 068 347 520 $2 000 000.00 5/6 1/228 826 080 $1721.80 4/6 1/5 085 024 $62.20 3/6 1/110 544 $10.00 The expected value can ...

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