When playing roulette at a casino, a gambler is trying to decide whether to bet $20 on the number 24 or to bet $20 that the outcome is any one of five possibilities 00,0,1,2, or 3. The gambler knows that the expected value of $20 bet for a single number is -$2 10. For the $20 bet that the outcome is 00,0,1,2,or3, there is a probability of 5/38 of making a net profit of $100 and a 33/38 probability of losing $20. a) Find the expected value for the $20 bet that the outcome is 00,0,1,2,or3 b) which bet is better a $20 bet on the number 24 or a $20 bet that the outcome is any one of the numbers 00,0,1,2,or 3?Why?
Contingency Table
A contingency table can be defined as the visual representation of the relationship between two or more categorical variables that can be evaluated and registered. It is a categorical version of the scatterplot, which is used to investigate the linear relationship between two variables. A contingency table is indeed a type of frequency distribution table that displays two variables at the same time.
Binomial Distribution
Binomial is an algebraic expression of the sum or the difference of two terms. Before knowing about binomial distribution, we must know about the binomial theorem.
When playing roulette at a casino, a gambler is trying to decide whether to bet $20 on the number 24 or to bet $20 that the outcome is any one of five possibilities 00,0,1,2, or 3. The gambler knows that the
a) Find the expected value for the $20 bet that the outcome is 00,0,1,2,or3
b) which bet is better a $20 bet on the number 24 or a $20 bet that the outcome is any one of the numbers 00,0,1,2,or 3?Why?
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