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When playing roulette at the casino a gambler is trying to decide whether to bet five dollars on the number 17 or to be five
When playing roulette at the casino a gambler is trying to decide whether to bet five dollars on the number 17 or to be five dollars at the outcome is any of the five possibilities 00, 0, 1, 2, or 3. The gambler knows that the expected value of the five dollar bet for the single number is -$.26. For the five dollar bet that the outcome is 00, 0, 1, 2, or 3, there is a probability of 5/38 of making a net profit of $30 and a 33/38 probably of losing $5. A. Find the expected value for the $5 bet that the outcome is 00, 1, 2, or 3. B. Which bet is better? Why
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