r/learnquant • • 2d ago

interview prep Quant Interview Question

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u/EscapeOwn6945 2d ago edited 2d ago

I am going to assume that it is 4 rows of 6 columns since the problem is vague. Let X represent the third highest value of row 1. We know

P(X=24) = P(X=23) = 0 and P(X=1) = P(X=2) = P(X=3) = 0.

P(X=22) = arrangements with 22, 23, and 24 / number of arrangements = (21 choose 3) / (24 choose 6) = 5 / 506

P(X=21) = arrangements with 21, 22, 23, and no 24 + arrangements with 21, no 22, 23, and 24 / number of arrangements = (20 choose 3) + (20 choose 3) / (24 choose 6) = 30/1771

More generally P(X = k) = (k-1 choose 3) * (24-k choose 2) / (24 choose 6)

So E[X] = sum_k=4^22 k P(X=k) = 100 / 7.

1

u/sensible_clutter 2d ago

simple kth order statistics say choosing n numbers from 0 to N the gaps created is n+1 since every gap size is equivalent thus each gap size (N+1)/(n+1) now since here we want 4th smallest no. in the row x1<x2<.....<x6... we want x4 this k =4. Now N=24 and n =6 thus final answer is 4(24+1)/(6+1) = 100/7

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u/Glum_Insurance_2451 1d ago

Most intuitive!

0

u/Neither_Berry_100 2d ago

Well this simplifies to picking 4 (or is it 6) of those numbers randomly without repeats. Then finding the expected value of the third largest of those. Personally I would just simulate most of these with a computer program and approximate the answer.