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Anna's Antiques Expects to Get Three Bidders for the Unique

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Anna's Antiques expects to get three bidders for the unique china teacup it sells.Each of the bidders can either have a high-value of $100 or a low-value of $70 with equal probability .If three bidders show up at the auction,and two of the bidders are high-value,what would the winning price be?


Definitions:

Department Stores

Large retail establishments offering a wide range of products across multiple departments.

Ad Valorem Duty

A tax charged as a percent of the value of the item.

Foreign Manufacturer

A company that produces goods in a country other than where the goods are sold or consumed.

Danish Krone

The recognized monetary unit of Denmark, which is also utilized in Greenland and the Faroe Islands.

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