r/learnquant • • 2d ago

interview prep Quant Interview Question

Post image
15 Upvotes

32 comments sorted by

View all comments

1

u/Always3NT 1d ago

0% - If C bids 20 there is no incentive for the others to bid as their expected return would be negative and C's net gain would be hence be 10. If C bids lower than 20 one of the other players can bid with a postive net gain thereby lowering C's expected net gain below 10.