Question: Two players (player A and player B) are playing a game against each other repeatedly until one is bankrupt. When a player wins a game

Two players (player A and player B) are playing a game against each other repeatedly until one is bankrupt. When a player wins a game they take $1 from the other player. All plays of the game are independent and identical.

a) (5 marks) Suppose player A starts with $6 and player B starts with $6. If player A wins a game with a probability of 0.50, what is the probability the game ends (someone loses all their money) on exactly the 10th play of the game?

b) (5 marks) Suppose player A starts with $2 and player B starts with $3. If player A wins a game with probability p, what is the probability that player A wins all the money?

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a To find the probability that the game ends on exactly the 10th play we need to consider the possible sequences of wins and losses for both players t... View full answer

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