21.10.

2014

Brain Teasers

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HEDGEHOGS, IPODS, BIRTHDAYS:

Puzzlestoponderaheadofyourinterview.

How many words are there in the daily edition of The Times? How many songs are stored on iPods in the UK? How many spikes
are there on the back of a hedgehog? These and other provocative questions await you, in preparation for your interview with
Oliver Wyman.

TELEPHONE BOX
HowmuchinterestislostonmoneysittinginphoneboxesinEnglandeachyear?Calculatefor2006and1985.

Answeringthisquestionrequiresansweringanumberofsubquestions(SQ):

Question1:HowmanytelephoneboxesarethereinEngland?
Startbyconsideringhowmanypeoplethereareperphonebox
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Brain Teasers

Therearetwotelephoneboxesinmyvillageandithasaround200houses
Assumingthattheaveragehouseholdhasfourpeoplelivinginit(parentsplustwochildren),thenthereare:200houses*4people/2boxes=
400peopleperphoneboxinruralareas
Nowconsiderurbanareas,giventhehigherdensityofhousing,saydouble,therewillbe400housespertwophoneboxes
However,occupancyratesarelikelytobelowerinurbanarease.g.moreflats.Assuming,thathalfarefamilyhouseswithfourpeopleandhalf
areflatswithtwopeople,theaveragehouseholdwillhavethreepeoplelivinginit
Thereare:400houses*3people/2boxes=600peopleperphoneboxinurbanareas
Finally,assumethatinEngland25%ofthepopulationliveinruralareasand75%liveinurbanareas,thentheaveragenumberofpeopleper
phoneboxis:600people*75%+400people*25%=550peoplepertelephoneboxinEngland
UsethepopulationofEnglandtoestimatethenumberofboxes
TotalnumberofpeopleinEnglandis~50million
Totalnumberoftelephoneboxesis:50million/550people~=90,000

Question2:Howmuchmoneyisineachphonebox?
Undertheassumptionthattelephoneboxeswillbeemptiedwhentheyarefullandnotbefore,wedonotneedtoconsiderfrequencyofuseand
insteadrequireanestimateofcoinagecapacity
Phonecallscost20pinEnglandsothemajorityofcoinswillbe20p
Thecollectiontraysinphoneboxesareapproximately20cmhigh,20cmwideand10cmdeep,givingatotalvolumeof20*20*10=4,000cm3
A20pcoinisabout2cmindiameterandabout1/4cmindepth,givingatotalspacetakenupof2*2*1/4=1cm3
Therefore,thecollectiontraycanhold4,00020ppieceswhenfull,or800
thisassumesthattheshootintothetraymaintainsanorderlycoin

arrangement
Assumingthatthereisaconsistentuseofphoneboxesthroughtime,theaverageamountinaphoneboxis400

FinalStep:HowmuchinterestislostonmoneysittinginphoneboxesinEnglandeachyear?
TheaveragetotalamountinallEnglishphoneboxesis:400*90,000=36million
Assuminganannualinterestrateof5%ondepositedmoney,thetotalamountofinterestlostinayearis1.8million

ExtraQuestion:Calculatefor1985.
Undertheassumptionthatthephoneboxisemptiedwhenitisfull,theaveragenumberofcoinsintheboxremainsat2,000
In1985acallcost10pratherthan20psotheaverageamountinthephoneboxwas200(ignoretheslightlydifferentsizesofthecoins)
Weusedtohavefourboxesinourvillageinsteadofthetwowehavenow
AssumethereweretwiceasmanyboxesinEnglandin1985i.e.

180,000boxes
TheaveragetotalamountinallEnglishphoneboxeswouldhavebeen:200*180,000=36million
Assuminganannualinterestrateofabout10%in1985,thetotalamountofinterestlostinayearwas3.6million

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