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1. Suppose that we will receive $25 if we get two consecutive heads (H) on two ?ips of a balanced coin. If only one head appears, we will get $10. On the other hand, if there is no heads, we will lose $15. If monetary return is the only concern, should we play this game? Why?
2. In the previous problem, suppose we suspect the coin is not balanced. We feel that P(H) is only 0.4. In our last 10 observations, we counted three heads and seven tails. Should we play the game? Defend your answer.
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Using the .10 level of significance, can we conclude there is a significant difference in the proportion of adults and the proportion of teens who rated the new video?
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