Question

Im confused on how to answer this question Im not too sure what the win and lose mean ;/

Answer 1

We have:

Total number of cards = 52

If you win then you will get = $70

If you lose then you will give him = $10

Therefore, first let us calculate the probability that three fives cards will be drawn with replacement:

`P(3\text{ fives cards)=}(4)/(52)*(4)/(52)*(4)/(52)=0.000455`

Next, the probability that it will not draw three fives in succession is:

`P(\text{not 3 fives cards)=}1-0.000455=0.999545`

Hence, for each game the expected return would be:

`0.000455*70-0.999545*10=0.03185-9.99545=-9.9636`

For 30 times:

`-9.9636*30=-298.91`

So, you lose $298.91

Answer:

Lose

$298.91