Analytical Interview Questions
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Question

There are three wise men in a room: A, B and C. You decide to give them a challenge. Suspecting that the thing they care about most is money, you give them $100 and tell them they are to divide this money observing the following rule: they are to discuss offers and counter-offers from each other and then take a vote. The majority vote wins. Sounds easy enough... now the question is, assuming each person is motivated to take the largest amount possible, what will the outcome be?

Solution

It is unlikely that one wise man would be voted out because counter-offers are allowed. Consider: A and B decide to leave C out and split halfway. C offers B to leave A out instead, and as incentive offers B $60 as compared to $50 (Note: for C, $40 is better than nothing at all).

Now A will try to raise that figure, but keep no less than $33 for himself. It would also happen that as B starts to get more and more of the share, A and C would decide to keep B out instead and split amongst each other. This would go on and on until they reach equilibrium with each agreeing to take their rightful share of 33 dollars.

 

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