Question
1. Suppose there are three categories of customers X, Y, and Z . The probability of default for X, Y, Z is 0.05,0.1 and 0.2
1. Suppose there are three categories of customers X, Y, and Z . The probability of default for X, Y, Z is 0.05,0.1 and 0.2 respectively. The expected loss for each category must not exceed $1,000,000 and the credit granted for categories Y and Z must be the same. How much credit can you grant to each category to maximize the total expected collected revenue?
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Intermediate Algebra Functions & Authentic Applications
Authors: Jay Lehmann
5th Edition
0321923464, 9780321923462
