Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

51. Based on past sales experience, an appliance store stocks five window air conditioner units for the coming week. No orders for additional air conditioners

51. Based on past sales experience, an appliance store stocks five window air conditioner units for the coming week. No orders for additional air conditioners will be made until next week. The weekly consumer demand for this type of appliance has the probability distribution given in the file P05_51.xlsx. a. Let X be the number of window air conditioner units left at the end of the week (if any), and let Y be the number of special stockout orders required (if any), assuming that a special stockout order is required each time there is a demand and no unit is available in stock. Find the probability distributions of X and Y. b. Find the expected value of X and the expected value of Y. c. Assume that this appliance store makes a $60 profit on each air conditioner sold from the weekly available stock, but the store loses $20 for each unit sold on a special stockout order basis. Let Z be the profit that the store earns in the coming week from the sale of window air conditioners. Find the probability distribution of Z. d. Find the expected value of Z.

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

College Algebra

Authors: Mark Dugopolski

5th Edition

0321899822, 9780321899828

More Books

Students also viewed these Mathematics questions

Question

2. It is the results achieved that are important.

Answered: 1 week ago

Question

7. One or other combination of 16.

Answered: 1 week ago