What must be the odds against outcome

Reference no: EM1321076

Question: Consider an experiment with four possible outcomes, & assume that the quoted odds for the first three of these outcomes are as follows:

Outcomes	Odds
1	2
2	3
3	4

What must be the odds against outcome four if there is to be no possible arbitrage when one is allowed to bet both for & against any of the outcomes?

Reference no: EM1321076

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