This is done by first estimating what percentage you would win this hand. Then it is checked how much money you have to bet to win a certain amount . That is also converted into a percentage. If you compare these two numbers you can see if you are making enough money on average.
This is most evident with an example-
Suppose you estimate that you will win this pot about 30% of the time. There is Rs.1500 in the pot and your opponent bets Rs. 500. You must then bet Rs. 50 to win a pot of 200 (1500 + 500) Rs. That is 1 in 4 = 25%. You only have to bet 25% of the pot, while you win 30% of the time. So calling here is profitable. This percentage is called your pot odds .
If% you win% of the pot to bet, you can call profitably!
Odds and outs in practice-
Now this all sounds very easy of course, but in practice, there are a number of problems:
How do you estimate the chance that you will win?
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