Find the maximum price to pay
In non-traditional investing, it is often said there is no such thing as a bad investment, only a bad price to pay. In this example, simulated Magic the Gathering packs were opened according to their rarity. The online prices were then appended and a distribution of sales price (investment return) outcomes was created. Recall the most likely outcome is the average return shown as a vertical line. That means with enough opened packs and boxes the investment return should be near the average.
What is the maximum price you should be willing to pay, excluding friction costs?
Note: You can hover over the plot to see more detailed values.
This exercise is part of the course
Data-Driven Decision Making for Business
Hands-on interactive exercise
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