Multiple Choice
A standard deck of 52 cards contains 13 hearts. Here is another wager: draw one card at random from the deck. If the card drawn is a heart, you win $2. Otherwise, you lose $1. Compare this wager (call it Wager 2) with that of the previous question (call it Wager 1) . Which one should you prefer?
A) Wager 1, because it has a higher expected value
B) Wager 2, because it has a higher expected value
C) Wager 1, because it has a higher probability of winning
D) Wager 2, because it has a higher probability of winning
E) Both wagers are equally favorable.
Correct Answer:

Verified
Correct Answer:
Verified
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