Next card dealt in the same hand

Assignment Help Finance Basics
Reference no: EM131959469

An unenlightened gambler.

(a) A gambler knows that red and black are equally likely to occur on each spin of a roulette wheel. He observes ve consecutive reds occur and bets heavily on black at the next spin. Asked why, he explains that black is due by the law of averages. Explain to the gambler what is wrong with this reasoning.

(b) After listening to you explain why red and black are still equally likely after ve reds on the roulette wheel, the gambler moves to a poker game. He is dealt ve straight red cards. He remembers what you said and assumes that the next card dealt in the same hand is equally likely to be red or black. Is the gambler right or wrong, and why?

Reference no: EM131959469

Questions Cloud

Confidence interval for p : Although the samples in national polls are not SRSs, they are similar enough that our method gives approximately correct confidence intervals.
Sketch this normal curve and use : The sampling distribution of the proportion p^ of your sample who say "Yes" is approximately Normal with mean 0.35 and standard deviation 0.01.
Probability of any one of the 38 possible outcomes : (a) What is the probability of any one of the 38 possible outcomes? Explain your answer.
Probability of a head in tossing : What probability doesn't say. The probability of a head in tossing a coin is 1/2. This means that as we make more tosses
Next card dealt in the same hand : He remembers what you said and assumes that the next card dealt in the same hand is equally likely to be red or black. Is the gambler right or wrong, and why?
Sample of corporate executives : A recent study of the relationships between social activity and education for a sample of corporate executives. Based on the analysis, what can be concluded
Mdr and tdr limits for a conventional loan : Based on the MDR and TDR limits for a conventional loan, does she qualify for the loan?
Trial by an administrative agency : Why would there be a trial by an administrative agency? Describe the process
Find what is annual carrying cost of the postcard inventory : Post Card Depot, a large retailer of postcards, orders 5231454 postcards per year. What is the annual carrying cost of the postcard inventory?

Reviews

Write a Review

Finance Basics Questions & Answers

  Different lines of business with different risks

Consider a firm with two equally sized divisions (in terms of their value) that engage in completely different lines of business with different risks.

  Discuss how each of these potential changes

Discuss how each of these potential changes would affect the relative volume of leasing versus conventional debt in the U.S. economy.

  Describe what is meant by artificial intelligence

Select a system of your choice (describing the tasks in design), and develop a flowchart showing the application of CAD (or equivalent) as it should be implemented.

  What is the clean price of the bond

You purchase a bond with an invoice price of $1,090. the bond has a coupon rate of 8.4%, and there are 2 months to the next semiannual coupon date. What is the clean price of the bond?

  What was the annual percentage increase in the winners

in 1906 the first putting green championship was held. the winners prize money was 260. in 2009 the winners check was

  What is the best estimate of the nominal interest rate

Assuming that interest rates in the economy are expected to remain at their current level, what is the best estimate of the nominal interest rate on new bonds? Round your answer to two decimal places.

  What is the projected net income

Prepare a pro forma income statement assuming a tax rate of 35 percent. What is the projected net income?

  Operant conditioning techniques in order to change behavior

Now describe how you would use operant conditioning techniques in order to change the behavior.

  What is the operating cash flow

Lenson's is considering a project with a five-year life. The project requires $90,000 of fixed assets that are classified as five-year property for MACRS.

  What are the five annual payments

Anderson Manufacturing? Co., a small fabricator of? plastics, needs to purchase an extrusion molding machine for ?$130,000. Kersey will borrow money.

  What is jeffrey immelt (ge''s ceo) problem

1. What is Jeffrey Immelt's (GE's CEO) problem? Evaluate all of his options. What do you recommend?

  If you require an effective annual return of 13 percent on

peter lynchpin wants to sell you an investment contract that pays equal 15000 amounts at the end of each of the next

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd