Answered step by step
Verified Expert Solution
Link Copied!
Question
1 Approved Answer

A small nonprofit organization is planning a door-to-door marketing campaign to sell Christmas wrapping and gifts. They plan to visit 10 homes. Consultants have estimated

A small nonprofit organization is planning a door-to-door marketing campaign to sell Christmas wrapping and gifts. They plan to visit 10 homes. Consultants have estimated that they should expect to find someone home 80 percent of the time. When someone is home, 65 percent of the time it is a female. Thirty percent of females make a purchase, and when they do so the dollar value of their purchase is normally distributed with a mean of $22 and a standard deviation of $5. Males purchase 20 percent of the time, and the dollar value of their purchase is normally distributed with a mean of $28 and a standard deviation of $3.

a. What is the total amount they can expect to generate in revenues from these 10 visits?

b. What is the standard deviation of total revenues over 10 visits?

c. What is the probability they will make more than $750?

Step by Step Solution

3.32 Rating (155 Votes )

There are 3 Steps involved in it

Step: 1

Q fx 1NORMDIST750G13G151 G17 A D E F H Someone Purchase Purchase Visit ... 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_2

Step: 3

blur-text-image_3

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

Cost Accounting A Managerial Emphasis

Authors: Charles T. Horngren, Srikant M.Dater, George Foster, Madhav

13th Edition

8120335643, 136126634, 978-0136126638

More Books

Students explore these related Accounting questions