Question

question 27 (5 points)
answer the question.
suppose you are playing a game of chance. if you bet $5 on a certain event, you will collect $115 (including your $5 bet) if you win. find the odds used for determining the payoff.
115:120
22:1
1:22
23:1

Explanation:

Step1: Calculate the net winning amount

The net winning amount is the amount collected minus the bet amount. So, \(115 - 5=110\) dollars.

Step2: Determine the odds

The odds for a pay - off is calculated as the ratio of the net winning amount to the bet amount. The formula for odds is \(odds=\frac{\text{net winning}}{\text{bet amount}}\). Here, the net winning is \(110\) and the bet amount is \(5\). So, the odds \(=\frac{110}{5}=\frac{22}{1}\)

Answer:

B. \(22:1\)