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From what i read "The probability that an event will occur is the fraction of times you expect to see that event in many trials. The odds are defined as the probability that the event will occur divided by the probability that the event will not occur."

Can any of you tell what is the real life usage of Odds? I would also appreciate if anyone can give a simple explanation on what we are trying to achieve by calculating the Odd? In the case of probability, we are calculating the chance of a particular event to happen. Similarly, what are we trying to find out by calculating the odd in plain English?

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Bets. Real Madrid (R) plays against Barcelona (B). Let's assume it is a final so, possibles outcomes are 2: either R wins, or B wins. Let's assume B has a 75% probability to win and R only 25%. I want to bet that R wins. If I bet 10 Euros, in a fair bet, how much should you pay me back if R wins? The odds against the event + what I bet. That is 10*0.75/0.25+10=40. What if I had bet for barcelona? 10*0.25/0.75*10=13.33333. In this case the expected reward is always zero (namely I get back what I bet, the 10 Euros).

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