Question
A retail company operates two types of clothing stores in shopping malls. One type specializes in clothes for men, and the other in clothes for
A retail company operates two types of clothing stores in shopping malls. One type specializes in clothes for men, and the other in clothes for women. The sales from a men's clothing store average $800,000 annually and those from a women's cloth-ing store average $675,000 annually. The standard deviation of sales among men's stores is $100,000 annually, and among women's stores it is $125,000. In a typical mall, the company operates one men's store and one women's store (under different names)
Find the standard deviation of the total sales if the correlation between the sales at the men's store and women's store is r = 0.4.
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