[Isura]

My head hurts. I don't get your math here. [img]/images/graemlins/confused.gif[/img]

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Thus, the total of all the outcomes is (10% * 435) + (30% * 74) + (40% * 20) + (10% * 3), which comes out to exactly 74. Sometimes, rounding error may cause a slight difference to appear.

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For example why is 10% * 435 used instead of 10% * 535, since $535 is the cash equivalent of buying into step 3? How did you calculate the whole thing, start from the buttom and work up? Please clue me in.