Winning and losing distributions

[kfulton]

Homework Statement

Given the following information about the patrons' win rate at the casino, determine the ensuing probabilities.

Relevant Equations

Normal distribution on Calculator = Normalcdf

I started by trying to write a normal distribution function for losing and not sure if that is possible.

 

[kfulton]

Would the losing distribution be (-97.5%,70%)?

 

[pasmith]

Homework Statement:: Given the following information about the patrons' win rate at the casino, determine the ensuing probabilities.
Relevant Equations:: Normal distribution on Calculator = Normalcdf

I started by trying to write a normal distribution function for losing and not sure if that is possible.
View attachment 291684

Part oif the question appears to be missing. What probabilities is it asking you to calculate?

"Losing" menas winning less than $0.

 

[kfulton]

Part oif the question appears to be missing. What probabilities is it asking you to calculate?

"Losing" menas winning less than $0.

Here is the rest of the problem, but not sure where the percentages of the winning came from to even think about the losing.

 

[pasmith]

The amount won is distributed as stated in the question: N(-0.25, 0.3). This is expressed as a fraction of the amount staked, which is why the question says to convert the win/loss amounts to a decimal fraction.

 

[kfulton]

I understand that part, but for part 1, won't I need the losing distribution? If not do I get do 700/1000 - 2.5 divided by 30 and figure out the percent lower than that for the answer?

 

[pasmith]

The probability of losing $x is the probability of winning -$x.

 

[kfulton]

That makes sense. So you part 1 I will find the probability of winning 700 and then my answer will be the opposite sign of what I get out?

 

[Office_Shredder]

I think it might help to just start by rephrasing the distribution. The patrons winnings are a normal distribution center at how many dollars, and with how many dollars standard deviation?