Equity math
Hi Guys,
I need some help on math.
There has been some discussion and confusion among some OPT players about the correct math for a particular scenario. The situation is as follows.
For those of you who are not aware OPT runs sattys to the WSOP (usually for a 1500 event) If the player who wins the satty ends up cashing in the WSOP, the players who played in the event share a 15% equity in any winnings after taxes.
Here is the situation...
I have won two OPT sattys for 1500 events. I want to combine them together, add 2K of my own and play a 5K WSOP event. What is correct percentage of equity that will now be owed to the two different groups should I cash?
My calculations are as follows, am I correct or am I missing something?
Group A (1st WSOP win)
Group B (2nd WSOP win)
Group C (My top up)
$1500.00 (or = to 30% of buy in)
$1500.00 (or = to 30% of buy in)
$2000.00 (or = to 40% of buy in)
Group A is entitled to 15% of 30% of any winnings.
This equals to 30% x 0.15 = 4.5%
Group B is entitled to 15% of 30% of any winnings.
This equals to 30% x 0.15 = 4.5%
Group C is entitled to all remaining balance
4.5% + 4.5% = 9%
I need some help on math.
There has been some discussion and confusion among some OPT players about the correct math for a particular scenario. The situation is as follows.
For those of you who are not aware OPT runs sattys to the WSOP (usually for a 1500 event) If the player who wins the satty ends up cashing in the WSOP, the players who played in the event share a 15% equity in any winnings after taxes.
Here is the situation...
I have won two OPT sattys for 1500 events. I want to combine them together, add 2K of my own and play a 5K WSOP event. What is correct percentage of equity that will now be owed to the two different groups should I cash?
My calculations are as follows, am I correct or am I missing something?
Group A (1st WSOP win)
Group B (2nd WSOP win)
Group C (My top up)
$1500.00 (or = to 30% of buy in)
$1500.00 (or = to 30% of buy in)
$2000.00 (or = to 40% of buy in)
Group A is entitled to 15% of 30% of any winnings.
This equals to 30% x 0.15 = 4.5%
Group B is entitled to 15% of 30% of any winnings.
This equals to 30% x 0.15 = 4.5%
Group C is entitled to all remaining balance
4.5% + 4.5% = 9%
Comments
I don't know what the answer is fwiw.
Logic tells me that it's 9 percent, but I failed the maths in high school.
You keep 100% of winnings allocated to the 40% of the buyin you paid, and 85% of the OPT-funded buyins (60% * 85% = 51%) for a total of 91% in your pocket. The remaining 9% is split evenly between sat groups A & B since their contributions were equal.
On another note, how do the others feel about you playing the other event instead. If i was an investor (obv different than equity), I'd want you to play the 2 $1500 events instead for a couple of reasons.
If you cash small, not much chance on withholdings, so my percentage is higher.
If you cash small in the 5k, you'll still likely get dinged 30% withholding.
Not to mention that the field will be weaker for the 1.5ks
All valid points. That is a whole separate issue.
and are u not due for a BAP?
When I feel I'm playing at my best I'll be going back to putting BAPS up. Between family and friends passing away and my own personal health last year, my head was not in the game.
Picked the wrong year.