Problem 2 (20 points). Suppose that at FIU Homecoming this year, Professor\". Yo
ID: 2935472 • Letter: P
Question
Problem 2 (20 points). Suppose that at FIU Homecoming this year, Professor". You have three chances to throw a ball and hit a lever so that your professor will fall into the pool and get wet. You can dunk your professor a maximum of three times. Funl there is an event called "Dunk your Suppose that your probability of hitting the lever is 0.3. Your friend offers you a bet of $5 that you cannot dunk your professor. You win $5 if you dunk your professor at least once and lose $5 if you do not dunk your professor at all. Is this a profitable bet? a)Explanation / Answer
P(hitting lever) = 0.3
P(missing lever) = 1 - 0.3 = 0.7
Probability that you will not dunk your professor = Probability that you will not hit the lever on all three attempts
= 0.73
= 0.343
P(dunking professor) = 1 - 0.343
= 0.657
P(dunking professor) is higher that P(not dunking). So, this is a profitable bet.