A gambler plays roulette game and he Question


A gambler plays roulette game and he is insisting to play all his money to black (A roulette wheel has 38 slots: 18 are black, 18 are red, and 2 are green).a) Try to calculate required number of spin for average(μ) loss corresponds to the certain amount of his initial money (M) completely. Around this average loss, what is the confidence interval (95% or μ±2σ ) of the money (the variance (σ2 ) of the process should be calculated as well)?b)RV x is money (won (n times) or lost(N-n times) amount where N is number of spin, e.g. 25, 50, 100, 200, 400, 500,..1500…) try to establish a distribution and all moments of this RV. Try to explain whether his decision is sustainable or not. Try to find a winning strategy. Plot the probability density function for various N values.

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