IBM Puzzle [January 09] - Ponder This! (Very Tough)
Source: #-Link-Snipped-#
Consider the following game. You have an opportunity to buy lottery tickets. Each ticket has a value t randomly and independently picked from the continuous and uniform distribution on the interval(0,1). Each ticket costs c (0
Suppose we modify the game so that you don't have to throw away any tickets. When you decide to stop buying tickets you can cash in any (but only one) of the tickets you have purchased and the game ends. Now what are your expected winnings (using the best strategy) as a function of c?
Note:
Some of the solvers are overlooking a minor point. For credit please ensure your answer is correct for the entire range of c.
Consider the following game. You have an opportunity to buy lottery tickets. Each ticket has a value t randomly and independently picked from the continuous and uniform distribution on the interval(0,1). Each ticket costs c (0
Suppose we modify the game so that you don't have to throw away any tickets. When you decide to stop buying tickets you can cash in any (but only one) of the tickets you have purchased and the game ends. Now what are your expected winnings (using the best strategy) as a function of c?
Note:
Some of the solvers are overlooking a minor point. For credit please ensure your answer is correct for the entire range of c.
Replies
-
Kaustubh KatdareHmm. No one wants to try the tough problem? Come on folks! -
indukurianswer is - expected value is 1-sqrt(2*c) for all c <0.5
if c >0.5 then the strategy is not to toss,,hence expected value 0.
You are reading an archived discussion.
Related Posts
I've noticed quite a few of our members entering 'agriculture' in their engineering trade section of profile.
I wish to know more about agricultural engineering and its scope. Can anyone...
CEans,
Those who are looking for IIT-D's Summer Research Fellowship Program '09 Form, please head over to -
https://www.iitd.ac.in/admission/ApplnSRFP 2008.pdf
All the best!
LET YOUR HEART BE IN PEACE
Hi, sir, At how many RPM will a two wheeler engine shaft rotate?
especially for tvs moped bikes??????
hi ,i m in 2nd year of electronics communication engineering,i m lookin forward for a project that is practical in nature as welll as feasible.can someone suggest me a project...
Ok boys and girls. After completing the CE-Song, we(Ash,Biggie and Me) thought about writing a song dedicated to Biggie's Love life.
The lyrics so far are
When I saw you...