Identify the correct statement about a fair game.
A)It is a game in which the cost of playing the game is less than the expected winnings of the game.
B)It is a game in which the net value equals zero.
C)It is a game in which the probability of winning or losing is equal to 1.
D)It is a game in which the net value is positive and greater than zero.
E)It is a game in which the cost of playing the game is greater than the expected winnings of the game.

Question

Quizplus · Accepted Answer

A fair game is defined as a game where the expected net outcome (winnings minus cost) is zero, meaning the player neither expects to lose nor gain money in the long run.

Identify the Correct Statement About a Fair Game