Determine phases-states-decisions and probability , Operation Research

G. Ambler has € 10000 available for a second hand car, but would like to buy a fast car that costs € 25000. He needs the money for that car quickly, and would like to increase his capital to € 25000 via a gambling game. To this end, he can play a game in which he is allowed to toss an imperfect (with probability 0.4 for heads) coin three times. For each toss he may bet each amount (in multiples of € 1000 and the amount should be in his possession). He will win the amount (i.e. receives twice the amount of the bet) when he tosses head, and loses his betted amount when he tosses tails. Use stochastic dynamic programming to determine a strategy that maximises the probability of reaching € 25000 after three tosses.

(a) Determine the phases n, states i, decisions d, en optimal valuefunction fn(i) for this stochastic dynamic programming problem.
(b) Give the recurrence relations for the optimal value function.
(c) Determine the optimal policy, and describe in words what this policy does. What is the expected probability of succes?

 

Posted Date: 3/5/2013 8:09:19 AM | Location : United States







Related Discussions:- Determine phases-states-decisions and probability , Assignment Help, Ask Question on Determine phases-states-decisions and probability , Get Answer, Expert's Help, Determine phases-states-decisions and probability Discussions

Write discussion on Determine phases-states-decisions and probability
Your posts are moderated
Related Questions
Rules  Regarding the Table  Structure a. Table Number: When a number  of tables  are constructed serial number of the tables  should  be given  to each table. b. Title Th

a pipe lis dur for rpair,the repair would cost 10000 and it would last for 3 years.alternatively a new pipe line can be purchase at 30000 for 10 years.assuming 10% depriciation rat

A paper mill produces two grades of paper viz., X and Y. Because of raw material restrictions, it cannot produce more than 400 tons of grade X paper and 300 tons of grade Y paper i

You are required to investigate and examine aspects of planning and organisational structure for a 'real-life' organisation. This assessment enables you to relate the theories and

how do you calculate using this method where the least cost appears twice

mile-high microbrewery makes a light beer and a dark beer. mile-high has a limited supply of barley, limited bottling capacity, and a limited market for light beer. profits are $0.

Classification of documents by information Characteristics: The schemes of classification advocated by Hanson and Grogan are mainly based on the information characteristics of

A paper mill produces two grades of paper viz., X and Y. Because of raw each) material restrictions, it cannot produce more than 400 tons of grade X paper and 300 tons of g

Royce A. Singleton and Bruce C. Straits have said that scientific social research consists of the process of formulating and seeking answers to question about the social wor

Uses  of Mean  Deviation Mean  Deviation  is rarely being used as a measure of dispersion. But  due to  easy  and  simplicity  in calculation. It  is rather  useful  in busin