An argument between Bozza and dwayne...let's settle it

[Hatterlovesbrighton]

Re: Re: Re: Re: Re: Re: Re: Re: Re: An argument between Bozza and dwayne...let's settle it

err nope re-read it.

I know you have said that it is a win lose bet and so it does not work to compare it with a bank account, but if that is how Bozza interpreting it then so be it. You could probably convince an accountant to think of it this way. An accountant could also beleive that you should write it off completley, or that it should be quoted as the value of the initial investment until such time as it is worth different.

 

[dwayne]

But Dwayne you've got your money back plus the winnings in 7 months. That gives you a whole 5 months to invest it in something else.

The return is 16% in seven months, which works out to an APR (AER) of 28% or thereabouts.

I understand how he's worked it out, I just believe that it's a VERY unscientific way to look at it

 

[Deano's Right Foot]

Well it's the way that all savings accounts, mortgages etc. HAVE to be illustrated for comparison purposes, which I think makes it both relevant and correct. I'm not sure what you mean by scientific.

 

[Bozza]

Indeed. Is it really that difficult to comprehend?

 

[looney]

Re: Re: Re: Re: Re: An argument between Bozza and dwayne...let's settle it

ok at least others may put their oar in now that you have responded

this is the statement i disagree with


I am saying that a bank would need to offer a 28% interest rate to give an equal return to the Cardiff staying up bet

This is wrong, a bank just wont snaffel all your money.

If a bank offers 5% and the Cardiff bet is equivellent to 28% pa then the 23% difference represents the risk Bozz takes in losing his wedge if cardiff go down.

Bozza is correct, and he's also f***ing stupid including a bookie in his investment portfolio imo.