When last they met, the Baron invited Sir R----- to join him in a wager involving a sequence of coin tosses. At a cost of seven coins Sir R----- would receive one coin for every toss of the coin until a run of three heads or of three tails brought the game to its conclusion.

To evaluate its worth to Sir R----- we begin with his expected winnings after a single toss of the coin.

To evaluate its worth to Sir R----- we begin with his expected winnings after a single toss of the coin.