Originally Posted by

**ballinisahobby** I saw a specific problem on here earlier yet we have to answer one with more specifications:

In a gambling game a woman is paid $3 if she draws a jack or a queen and $5 if she draws a king or an ace from an ordinary deck of 52 playing Cards. If she draws any other card, she loses. How much should she pay to play if the game is fair?

Here we want c to be the cost to play each game

Let R.V. x = net gain per game = payoff -(cost to play the game).

So, X = { 3- c if she jack or queen

5-c if king or ace

-c other wise

E[x] expected net gain per single. Play of each game. If game is fair, then e[x] = 0. So, in this problem you want to find the value of c so that e[x]=0.

Note: No gambling company would run a fair game. for the gambling complany, the expected gain to player per single game is always negative i.e. gain to company is positive