Question

A $200 price offered in the big bills game one entry cost five dollars what was the minimum chance to win have to be to give a positive expected value to a player big bills

Answer 1

To give a positive expected value to a player in the big bills game, the minimum chance to win would have to be greater than 2.56%.

Step-by-step explanation:

To calculate the minimum chance to win that would give a positive expected value to a player in the big bills game, we need to consider the cost of entry and the prize amount. In this case, the entry cost is $5 and the prize amount is $200. We can calculate the expected value using the formula:

Expected Value = (Probability of Winning)(Prize Amount) - (Probability of Losing)(Entry Cost)

Let's assume the minimum chance to win is x. Plugging in the given values, we have:

x(200) - (1 - x)(5) > 0

Simplifying the inequality, we get:

195x - 5 > 0

195x > 5

x > 5/195

The minimum chance to win would have to be greater than 5/195, approximately 0.0256 or 2.56%.