what is more valuable?

[evof575gtc]

if someone asks you if would you rather take 1 million dollars, or 1 penny doubled 30 times, what would you say and why?

 

[simonprelude]

Both are about the same, penny doubled 30 times is slightly higher IIRC ??

That would be a lot of pennies though !!

 

[xxx]

Both are about the same, penny doubled 30 times is slightly higher IIRC ??

About the same?
I think not.

$1,000,000
vs
$1,073,741,824

 

[paladin]

Both are about the same, penny doubled 30 times is slightly higher IIRC ??

That would be a lot of pennies though !!

1.07 mil
Theres a story about a rich king in the middle ages, whos smart advisor, rather than be paid a lump sum, set up a similar payment schedule.

 

[simonprelude]

Maybe even $10,737,418.24 ??

So 10 times difference, not bad for a guess ??

About the same?
I think not.

$1,000,000
vs
$1,073,741,824

 

[Zennsx]

Geometric progression always wins..

 

[Acura NsX Pilot]

if someone asks you if would you rather take 1 million dollars, or 1 penny doubled 30 times, what would you say and why?

My answer would depend on how much time I had to reply.

 

[The Kid]

if someone asks you if would you rather take 1 million dollars, or 1 penny doubled 30 times, what would you say and why?

is both an option? :biggrin:

 

[splitz]

Depends on the frequency of the payment of the pennies. If it was once every year, than ok, I can wait for 20 years before it starts brining in some real money, but any longer than that, I'd probably take the $1m up front.

 

[clr1024]

As someone pointed out, I think the important thing here is time, as in the time value of money. If the penny double 30 times is an immediate pay out I'd take that as it is a larger sum, if not depending on the time line, I would probably take the million, then you invest. Assuming that you could return a very conservative 5% on the 1million it would take about a year and a half or less to break even with doubling the penny, but you have the potential to earn more than 5%.

As they say a $1 today is worth more than a $1 in the future...

Thats my $.02 anyway...

Carl

 

[minsbang]

my teacher taught me to make deals with my parents if I do my chores.. Start with a penny and double the amount everday.