10% refund question

[AcmeSalesRep]

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My quick math tells me this is a marginally winning. Assume a 1% house edge in BJ playing perfect strategy. X is your EV.

.49X - .51X + (.1)(.51X) = .031X or a 3% advantage.

Anyone read this any differently?

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Aside from the fact that you gave the house a 2% advantage, I believe your method is ok IF you are going to play a single bet...and either double your money or get a 10% rebate on your loss...

In reality, the house advantage accounts for the 1.5 payoff of a blackajack and the times you double/split. So the real calculation is more complex, but the idea is generally the same...

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