4 outs multiplied by 4 (double the amount of remaining streets) gives an estimated equity of 16%.
Compared to the actual equity of 17.2%, this estimation is close enough for games such as Texas hold'em where bet sizes are usually kept to less than or equal to 100% of the pot,[3][4] where the relative pot odds have a large enough margin of error for the player to meet with their calculated equity.
To convert this ratio to the equivalent percentage, the cost of the call is divided by the sum of these two numbers.
To convert any percentage or fraction to the equivalent odds, the numerator is subtracted from the denominator.
The law of large numbers predicts the player will profit in the long run if they continue to call with advantageous pot odds.
The opposite is true if the player continues to call with disadvantageous pot odds.
When calculating the odds of Alice drawing her flush, it was assumed that her opponent did not hold any of the remaining clubs.
Pot odds are just one aspect of a sound strategy for poker based on game theory.
The purpose of using game theory in poker is to make a player indifferent to how their opponent plays.
Implied odds are calculated in situations where the player expects to fold in the following round if the draw is missed, thereby losing no additional bets, but expects to gain additional bets when the draw is made.
On the turn, Alice's hand is certainly behind, and she faces a $1 call to win a $10 pot against a single opponent.
Since the pot lays 10:1 (9.1%), Alice will on average lose money by calling if there is no future betting.
Aggressive actions (bets and raises) are subject to reverse implied odds, because they win the minimum if they win immediately (the current pot), but may lose the maximum if called (the current pot plus the called bet or raise).
With one card to come, Alice holds a made hand with little chance of improving and faces a $10 call to win a $30 pot.
Because she is risking $20 to win $30, Alice's reverse implied pot odds are 1.5-to-1 ($30/$20) or 40 percent (1/(1.5+1)).
For calling to have a positive expectation, Alice must believe the probability of her opponent having a weak hand is over 40 percent.
With one card to come, Bob has a made hand, but the board shows a potential flush draw.
A player's bluffing frequency often accounts for many different factors, particularly the tightness or looseness of their opponents.