In this interview, you will be presented with a probability-based decision-making scenario designed to assess your ability to analyze risk and expected outcomes—skills that are crucial in quantitative finance. You will evaluate a game involving chance and monetary rewards or losses based on the outcome of simultaneous events. Your goal is to determine whether participating in this game is advantageous, using probability theory to calculate the expected value and assess potential gains or losses. Feel free to request hints if you need assistance in solving the problem. Once you reach a conclusion, you will be asked to explain your reasoning and calculations.

SIG: Matching Heads

Deduce a simple game's profitability