You have a thousand Re. 1 coins with you. You have ten bags with you and you can put any number of coins in each of the bags. The condition is that if someone asks you for any amount between 1 and 1000, you must be able to give that amount by just giving the bag (you are not allowed to open the bag and give coins).
A worker is to perform work for you for seven straight days. In return for his work, you will pay him 1/7th of a bar of gold per day. The worker requires a daily payment of 1/7th of the bar of gold. What and where are the fewest number of cuts to the bar of gold that will allow you to pay him 1/7th each day?