Got Homework?
Connect with other students for help. It's a free community.
Here's the question you clicked on:
 0 viewing
A lottery winner must decide between two methods of payment. Choice one is to receive a lump sum of $100,000,000. Choice two is to begin with one cent on day 1, four cents on day 2, 16 cents on day three, and so on until the end of 18 days. Which choice should the lottery winner select? And what is the amount?
 2 years ago
 2 years ago
A lottery winner must decide between two methods of payment. Choice one is to receive a lump sum of $100,000,000. Choice two is to begin with one cent on day 1, four cents on day 2, 16 cents on day three, and so on until the end of 18 days. Which choice should the lottery winner select? And what is the amount?
 2 years ago
 2 years ago

This Question is Closed

moneybirdBest ResponseYou've already chosen the best response.2
Choice 1: amount 100 000 000 Choice 2: amount: 0.01 (4)^(181) Lottery winner should choose the second choice
 2 years ago

mitosukiBest ResponseYou've already chosen the best response.0
Oh I see, and the amount of choice 2 is 171,798,691.84?
 2 years ago

matt101Best ResponseYou've already chosen the best response.2
He should choose the second option. The second option quadruples the previous day's winnings. This happens 17 times over the 18 days, meaning he would get: 0.01*(4^17) ~ $171 798 692, which is more than the first option.
 2 years ago

moneybirdBest ResponseYou've already chosen the best response.2
check with a calculator
 2 years ago
See more questions >>>
Your question is ready. Sign up for free to start getting answers.
spraguer
(Moderator)
5
→ View Detailed Profile
is replying to Can someone tell me what button the professor is hitting...
23
 Teamwork 19 Teammate
 Problem Solving 19 Hero
 Engagement 19 Mad Hatter
 You have blocked this person.
 ✔ You're a fan Checking fan status...
Thanks for being so helpful in mathematics. If you are getting quality help, make sure you spread the word about OpenStudy.