Question
A salesperson in a large bicycle shop is paid a bonus if he sells more than 4 bicycles a day. The probability of selling more
A salesperson in a large bicycle shop is paid a bonus if he sells more than 4 bicycles
a day. The probability of selling more than 4 bicycles a day is only 0.40. If the number of
bicycles sold is greater than 4, the distribution of sales is as shown in the table below. The shop
has four different models of bicycles. The amount of the bonus paid out varies by type. The
bonus for model A is $10; 40% of the bicycles sold are of this type. Model B accounts for 35%
of the sales and pays a bonus of $15. Model C has a bonus rating of $20 and makes up 20% of
the sales. Finally, model D pays a bonus of $25 for each sale but accounts for only 5% of the
sales. Develop a simulation model to calculate the bonus a salesperson can expect in a day.
There is no bonus for selling the first 4 bicycles. www
of Bicycles Sold Probability
5 0.35
6 0.45
7 0.15
8 0.05
a) List your R simulation codes here.
b)What is your simulation output result?
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