6 I now have $2, and my goal is to have $6. I will repeatedly flip a...
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6 I now have $2, and my goal is to have $6. I will repeatedly flip a coin that has a .4 chance of coming up heads. If the coin comes up heads, I win the amount I bet. If the coin comes up tails, I lose the amount of my bet. Let us suppose I follow the bold strategy of betting Min($6 current asset position, current asset position). This strategy (see Section 19.3) maximizes my chance of reaching my goal. What is the probability that I reach my goal?
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Operations Research Applications And Algorithms
ISBN: 9780534380588
4th Edition
Authors: Wayne L. Winston
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