In gambling game,a man is paid 3 dollars if he draws a jack or queen and 5 dollars if he draws a king or ace from an ordinary deck of 52 playing cards.if he draws any other card he loses.How much should he play if the game fair?
In gambling game,a man is paid 3 dollars if he draws a jack or queen and 5 dollars if he draws a king or ace from an ordinary deck of 52 playing cards.if he draws any other card he loses.How much should he play if the game fair?
Let the stake be $\displaystyle X$, then to be a fair game requires that
the expected return be $\displaystyle 0$. The expected return is:
$\displaystyle
e=(8/52)\times 3 + (8/52) \times 5 - (36/52) \times X
$
So solve this for $\displaystyle X$ to find what s fair stake is.
RonL