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Understanding Question 2
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Suppose that you already submitted “your best guess” function to the interface. How will payments be computed?
Select all that apply:
For each value of x with a point that was not shown to you, the interface computes the distance D between the prediction of your best guess and the y value of the hidden point.
The interface computes the payoff per prediction using the distance D in the formula: $25 x (1-D2/20).
The interface takes the average across all of the payoff per predictions that it computed.
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