My question is: In a studio audience of 100 people, 40% of these people have an envelope taped underneath their chairs. 20% of these people will have "You Won" in their envelope, the rest will have empty envelopes. How many people will win a prize? Your thoughts:
40% of the 100 studio audience will have an envelope under their chair so .40 * 100 = 40 people will find an envelope. 20% of these 40 people will find a "You Won" notice so only .20 * 40 = 8 people will win. The final answer: 8.