You are a contestant on a game show called ñBargain or No Bargain.î You are presented with three briefcases, which contain rewar
ds of $500,000, $2,000, and $500. The host of the show says you can either open one random case and keep the amount inside, or you can accept a guaranteed award of $160,000. What is the mathematically correct decision, and why?
I think the correct decision to make is to accept the guaranteed award of $160000 because the probability of choosing the briefcase containing 500,000 dollars is very low. Chances are you would be able to choose the cases with lower value than the guaranteed award. Hope this helps.
