You are playing a fair gamble with your initial wealth $1,000,000. The expected return of each play of the gamble is 0% since it

Question

3 years ago

14

You are playing a fair gamble with your initial wealth $1,000,000. The expected return of each play of the gamble is 0% since it

is a fair gamble. If you try to play this fair gamble 100,000 times, the probability that your wealth after the gambles is higher than your initial wealth is 50% since it is a fair gamble. Assume you bet the same fixed amount at each play and you are not allowed to borrow money.
A. True
B. False

Business

1 answer:

I am Lyosha [343] · Answer 1 · 2022-06-22T20:58:23+03:00

Answer:

False

Explanation:

The answer to this question is False because this is a fair play game which indicates that the number of wins is approximately same as the losses. If a person wins and losses in gambling the net outcome would nearly remain unchanged as the increase by wins will be decreased by losing at gambling.