Question
A gambling game works as follows: you flip a fair coin four times (one after another). You will be paid $4 if you get 0
A gambling game works as follows: you flip a fair coin four times (one after another). You will be paid $4 if you get 0 or 1 heads and $1 if you get 3 heads. Otherwise, you have to pay $2.50.
a) Write down the sample space showing all the possible outcomes (for example, one possible outcome is (HHHH)).
b) What is the probability of winning money from this game?
c) Construct the probability distribution of the amount won when you play this game once. (Losing money is equivalent to winning a negative amount.)
d) How much can you expect to win if you played this game twenty times?
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started