Theoretical Win Calculation

What is Theoretical Win Calculation, and how do you calculate it?

Quote: ShineyShine

What is Theoretical Win Calculation, and how do you calculate it?
link to original post

Based on the content in your prior threads, I assume you’re asking with respect to the house…

A Theoretical Win Calculation is the amount of money the house will win on average after a certain number of rounds (hands, spins, draws, resolved dice rolls, etc.) or within a certain timeframe. A positive number reflects a win, and a negative number reflects a loss.


The Theoretical Win for the house after N resolved bets,

Theo Win (N) = (1 - R) * B * N,

where R = theoretical return of the game
and B = average bet amount.


The Theoretical Win for the house during time, T,

Theo Win (T) = (1 - R) * B * H

where R = theoretical return of the game,
B = average bet amount,
and H = average number of resolved bets during T amount of time.


To calculate the same for the player, merely substitute (R - 1) for (1 - R) in either equation above.

Thanks for the reply Camapl. Yeah, it was for the house. So it's basically the house edge, I just had never heard or seen it described this way, so wanted clarification. Cheers!

My calculator does the heavy lifting: https://easy.vegas/gambling/average-loss