OpenStudy (anonymous):

Graham is in a casino and decides that he will bet on only even numbers in a card game. An ace is assumed to be the number 1. The game is played with a regular deck of 52 cards. The house rules are that if the card picked is an even number, Graham’s money doubles. If it is an odd number, Graham loses his money. Also, if the card picked is a face card (jack, queen, or king), the dealer replaces the card and picks again. Is this bet a fair one? Why? a>This is not a fair bet because there is a probability of that the card picked is a face card. b>This is not a fair bet because the color of the numbered cards has not been taken into consideration. c>This is a fair bet because the probabilities of getting an odd number or an even number are not the same. d>This is a fair bet because the expected value for one play of the game is zero. e>This is not a fair bet because the casino makes a profit on the odd numbers.

3 years ago
OpenStudy (lastdaywork):

Probability of even/odd is same..So what do you think about the bet ??

3 years ago
OpenStudy (anonymous):

do you think its b then ? since there equal ? @LastDayWork

3 years ago
OpenStudy (lastdaywork):

"b>This is not a fair bet..." Even after considering the color; the probability of even and odd remains equal..

3 years ago
OpenStudy (anonymous):

sorry i meant d -.-

3 years ago
OpenStudy (lastdaywork):

Yep..for 1 play - it is a fair bet..but any subsequent betting will make it unfair

3 years ago
OpenStudy (anonymous):

thank you ! (:

3 years ago