dmg's Quiz for Tuesday!

dmg24

Now this one I am stuck on ...

You are going to bid for an object that you will only win if you offer more than the real value of the object.
The real value is a number somewhere between £0 and £1000 but you do not know this value.
The winner will be able to sell the item for 150% of its real value.
How much should you bid?

Any help gratefully received! x

Sorry, forgot to put credits to my teacher!

Ytaya

I'd go on eBay and find it cheaper Now that's more MSE!

chezza262

Wow - just tried to do this and am sooooo glad i dont have to do it regularly, my brain is fried already! :rolleyes:

I have no idea how you work out the real value without more info.

Surely you would have to bid over 1000 and risk losing the money if its real value is less but of course this cant be the answer. Oh well am going to bed and will look again tomorrow!

dmg24

My first answer: bid nothing. You are not going to win, but you are not going to lose anything.

My second answer: bid £1000. But then if the item is actually worth £0, you have lost £1000.

Next: £600. But I can't remember why!

There's more to come after this! x

dmg24

Come on tr3mor ... this is todays! x

tr3mor

dmg24 wrote: »

Come on tr3mor ... this is todays! x

I vote for as much as you think it's worth.

I've got too much to do to think about it. Have my final year project report due in tomorrow!

dmg24

tr3mor wrote: »

I vote for as much as you think it's worth.

I've got too much to do to think about it. Have my final year project report due in tomorrow!

So what are you doing on here mister?

Back to work! x

dmg24

Am going to bump this, because I still can't work it out.

tr3mor, did you get your work in?!

tr3mor

dmg24 wrote: »

Am going to bump this, because I still can't work it out.

tr3mor, did you get your work in?!

Yeah I did. Now I just have 4 exams to revise for!

Savvy_Sue

DH says you need to plot your potential losses against your potential gains. He can't provide a formula for this, but he could do it with a spreadsheet. As long as the value is not only unknown but also set randomly.

I say there's not enough information here. Too many variables ...

And I daren't ask my sons because they ought to be revising too ...

dmg24

Thanks Sue,

That's the route I've been going down, comes out at roughly £600.

I don't like things like this, it isn't real life, as if it was then my answer would be don't touch it, you'd be a mug to bid on such an unknown quantity!

tr3mor ... back to the books! x