Question
A person is considering placing a bet of $25 on team to win a sporting event. The odds-makers put that teams chance of winning at
A person is considering placing a bet of $25 on team to win a sporting event. The odds-makers put that team’s chance of winning at p=.4. The payoff from a win is $60. The net expected value of the bet is
(a) $5
(b) −$1
(c) $2
(d) −$5
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Microeconomics An Intuitive Approach with Calculus
Authors: Thomas Nechyba
1st edition
538453257, 978-0538453257
