you are invited to play the following game: an urn holds two white and three black balls, and you draw three balls randomly. If you draw no white balls, you lose $10; if you draw one white ball, you lose nothing; and if you draw both white balls, you gain $10. Should you play this game? You must present an argument for possible f

Question

Karlee Stout

Business

15 April, 00:16

you are invited to play the following game: an urn holds two white and three black balls, and you draw three balls randomly. If you draw no white balls, you lose $10; if you draw one white ball, you lose nothing; and if you draw both white balls, you gain $10. Should you play this game? You must present an argument for possible f

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Answers (1)

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Beast · Answer 1

That is why i did not play this game.

Explanation:

Lets i have initially $100.

There are 2 white and 3 black balls.

I have to draw 3 balls

If i draw no white balls, i lose $10; if i draw one white ball, i lose nothing; and if i draw both white balls, you gain $10.

So the final fortune = x

x = 100 x 1/2 x 1/2 x 3/2 x 3/2

x = $56.25

That is why i did not play this game.