All about flooble | fun stuff | Get a free chatterbox | Free JavaScript | Avatars
 perplexus dot info

 Sitting on the Fence (Posted on 2013-08-13)
Ann has a choice of two babysitting payment options:
1. She can accept a flat rate of \$15 for a night's work, or:
2. She can choose two of six sealed envelopes containing \$1, \$1, \$5, \$5, \$10 and a \$20 bill.
(For example, the second option could leave Ann with as little as \$2 or as much as \$30 for a night's work.)

Assuming that Ann will have to babysit for a very long period of time, which is the better payment option for her?

 No Solution Yet Submitted by K Sengupta No Rating

Comments: ( Back to comment list | You must be logged in to post comments.)
 re(2): solution, different result | Comment 4 of 5 |
(In reply to re: solution, different result by Hugo)

good catch, right you are.  It seems I got into a bit of a roll as the (5,5) was in the middle of a bunch that needed to be considered twice so I accidently multiplied it's probability by 2.
 Posted by Daniel on 2013-08-13 14:14:03

 Search: Search body:
Forums (0)