Homework Help is Here – Start Your Trial Now!
Math
Advanced Math
When you bet on a racehorse with odds of m-n, you stand to win m dollars for every bet of n dollars if your horse wins; for instance, if the horse you bet is running at 5-2 and wins, you will win $5 for every $2 you bet. (Thus a $2 bet will return $7.) Here are some odds from a race. The favorite at 6-2 was Pleasant Tap (P). The second choice was Thunder Rumble (T at 7-2, while the third choice was Strike the Gold (S) at 4-1. Suppose that just before the race, there has been frantic betting on Thunder Rumble, with the result that the odds have dropped to 4-5 for that horse. The odds on the other two horses remain unchanged. Assume you are making a $30 bet on one of these horses. The payoffs are your winnings. (If your horse does not win, you lose your entire bet. Of course, it is possible for none (N) of your horses to win.) Winner P N P You Bet T

When you bet on a racehorse with odds of m-n, you stand to win m dollars for every bet of n dollars if your horse wins; for instance, if the horse you bet is running at 5-2 and wins, you will win $5 for every $2 you bet. (Thus a $2 bet will return $7.) Here are some odds from a race. The favorite at 6-2 was Pleasant Tap (P). The second choice was Thunder Rumble (T at 7-2, while the third choice was Strike the Gold (S) at 4-1. Suppose that just before the race, there has been frantic betting on Thunder Rumble, with the result that the odds have dropped to 4-5 for that horse. The odds on the other two horses remain unchanged. Assume you are making a $30 bet on one of these horses. The payoffs are your winnings. (If your horse does not win, you lose your entire bet. Of course, it is possible for none (N) of your horses to win.) Winner P N P You Bet T

Elementary Linear Algebra (MindTap Course List)
Elementary Linear Algebra (MindTap Course List)
8th Edition
ISBN:9781305658004
Author:Ron Larson
Publisher:Ron Larson
Chapter2: Matrices
Section2.CR: Review Exercises
Problem 69CR
See similar textbooks
icon
Related questions
Topic Video
Question
Betting Set up the payoff matrix. When you bet on a racehorse with odds of m-n, you stand to win m dollars for every bet of n dollars if your horse wins; for instance, if the horse you bet is running at 5-2 and wins, you will win $5 for every $2 you bet. (Thus a $2 bet will return $7.) Here are some odds from a race. The favorite at 6-2 was Pleasant Tap (P). The second choice was Thunder Rumble (T) at 7-2, while the third choice was Strike the Gold (S) at 4-1. Suppose that just before the race, there has been frantic betting on Thunder Rumble, with the result that the odds have dropped to 4-5 for that horse. The odds on the other two horses remain unchanged. Assume you are making a $30 bet on one of these horses. The payoffs are your winnings. (If your horse does not win, you lose your entire bet. Of course, it is possible for none (N) of your horses to win.) Winner P T N P You Bet T
Transcribed Image Text:Betting Set up the payoff matrix. When you bet on a racehorse with odds of m-n, you stand to win m dollars for every bet of n dollars if your horse wins; for instance, if the horse you bet is running at 5-2 and wins, you will win $5 for every $2 you bet. (Thus a $2 bet will return $7.) Here are some odds from a race. The favorite at 6-2 was Pleasant Tap (P). The second choice was Thunder Rumble (T) at 7-2, while the third choice was Strike the Gold (S) at 4-1. Suppose that just before the race, there has been frantic betting on Thunder Rumble, with the result that the odds have dropped to 4-5 for that horse. The odds on the other two horses remain unchanged. Assume you are making a $30 bet on one of these horses. The payoffs are your winnings. (If your horse does not win, you lose your entire bet. Of course, it is possible for none (N) of your horses to win.) Winner P T N P You Bet T
Expert Solution
trending now

Trending now

This is a popular solution!

steps

Step by step

Solved in 2 steps

SEE SOLUTIONCheck out a sample Q&A here
Blurred answer
Knowledge Booster
Discrete Probability Distributions
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, advanced-math and related others by exploring similar questions and additional content below.
Recommended textbooks for you
Elementary Linear Algebra (MindTap Course List)
Elementary Linear Algebra (MindTap Course List)
Algebra
ISBN:
9781305658004
Author:
Ron Larson
Publisher:
Cengage Learning
College Algebra
College Algebra
Algebra
ISBN:
9781305115545
Author:
James Stewart, Lothar Redlin, Saleem Watson
Publisher:
Cengage Learning
SEE MORE TEXTBOOKS