Question

You and a friend play a game where you each toss a balanced coin. If the upper faces on the coins are both tails, you win $1; if the faces are both heads, you win$2; if the coins do not match (one shows a head, the other a tail), you lose $1 (win (−$1)). Give the probability distribution for your winnings, Y, on a single play of this game

a) P(Y = $1) = 0.25, P(Y = $2) = 0.25, P(Y = −$1) = 0.5
b) P(Y = $1) = 0.5, P(Y = $2) = 0.25, P(Y = −$1) = 0.25
c) P(Y = $1) = 0.25, P(Y = $2) = 0.5, P(Y = −$1) = 0.25
d) P(Y = $1) = 0.5, P(Y = $2) = 0.5, P(Y = −$1) = 0

Answer 1

The probability distribution for the winnings in this game is P(Y = $1) = 0.25, P(Y = $2) = 0.25, P(Y = - $1) = 0.5

Step-by-step explanation:

The probability distribution for your winnings in this game can be given as:

P(Y = $1) = 0.25

P(Y = $2) = 0.25

P(Y = - $1) = 0.5

This means that there is a 25% chance of winning $1, a 25% chance of winning $2, and a 50% chance of losing $1 in a single play of the game.