whitelime
12-04-2004, 06:37 PM
How do I calculate the probability of going broke given my bankroll, SD, and mean? Here is a hypothetical example...
Bob has $80. On average, he makes $1/hr. His standard deviation is 16. He can potentially lose money in an hour. What is the probability that he will reach $500 before he goes broke? What is the probability that he will ever go broke?
Bob has $80. On average, he makes $1/hr. His standard deviation is 16. He can potentially lose money in an hour. What is the probability that he will reach $500 before he goes broke? What is the probability that he will ever go broke?