Question

a carnival booth duck game offer cash prizes. the booth at 75 plastic ducks floating around in a wading pool. 4 ducks have a green stars on the underside, and you win $10 for selecting a duck with a green star. it costs $1 to select a duck. is this a fair game? ​

Answer 1

No, it is not fair

Explanation:

Here, we want to check if this is a fair game

To win a sum, a duck with a green star on the underside must be selected

The number of ducks with this is 4 out of 75

The probability of selecting one is 4/75

The expected value of selecting is ;

4/75 * 10 = 0.5333

The cost of selecting a duck is $1

The probability that a duck that wins will not be selected is 71/75 which at a price of $1 is 0.9467

Since the price to lose and the amount to win is not the same, then the game is not fair