Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Optiver has given you the opportunity to make money by betting a total of $100 on the outcome of two, simultaneous matches. Match A is

image text in transcribed
Optiver has given you the opportunity to make money by betting a total of $100 on the outcome of two, simultaneous matches. Match A is between the pink team and the maroon team. Match B is between the brown team and the cyan team. The pink team's probability of victory is 40% The brown team's probability of victory is 70% Optiver gives you betting odds of: . Pink - 7:4 . Maroon - 2:3 . Brown - 1:4 . Cyan - 3:1 How much money do you bet on each team? You do not have to bet all $100, but your bets must be whole numbers and the total of all five blanks (bets on the four teams and the unbet amount) must sum to 100. There is no single "correct" answer, but there are many "wrong" answers. As a reminder, a hypothetical team having 2:7 odds means that if you bet $7 on that team and they win, you get your $7 bet back and win an additional $2. If that team loses, you lose your $7. Pink Bet: Maroon Bet: Brown Bet: Cyan Bet: Unbet Amount

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Calculus

Authors: Laura Taalman, Peter Kohn

1st Edition

ISBN: 1464153035, 9781464153037

More Books

Students also viewed these Mathematics questions

Question

Does it exceed two pages in length?

Answered: 1 week ago

Question

Does it avoid typos and grammatical errors?

Answered: 1 week ago