A game is played as follows: A random number X is chosen uniformly from [0, 1]. Then

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A game is played as follows: A random number X is chosen uniformly from [0, 1]. Then a sequence Y1, Y2, . . . of random numbers is chosen independently and uniformly from [0, 1]. The game ends the first time that Yi > X. You are then paid (i − 1) dollars. What is a fair entrance fee for this game?
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Finite Mathematics and Its Applications

ISBN: 978-0134768632

12th edition

Authors: Larry J. Goldstein, David I. Schneider, Martha J. Siegel, Steven Hair

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