Question

In the league tournament with the conditions as described in the first question, a bookie Charlie follows the following system. In a match between two teams "a” and "b”, the team "a” wins more of their previous matches. If team "a” wins this match, he will pay Rs. 1.5 for every Re. 1 bet on team "a”. If team "b” wins this match, he will pay Rs. 2 for every Re. 1 bet on team "b”. In every match, equal money was bet on both the teams playing in that match. What was Charlie's gain, as a fraction, on the total money that he bet?

• A. -1/4
• B. 0
• C. 1/4
• D. 1/2

Answer 1

The correct option is C

1/4

Based on the information in the previous question, Charlie gets, say Rs 1 each from the betters of the two teams. In 6 matches, Charlie gets Rs 12. We know that the better team is winning in each case; hence his net gain is 50 paise in 6 matches $\Rightarrow$ his total gain $=\frac{(0.5\times 6)}{12}=\frac{1}{4}$