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Angela is concerned about water pipe replacement cost projections, as she's responsible for the rental, maintenance, and day-to-day operations of several large apartment complexes in
Angela is concerned about water pipe replacement cost projections, as she's responsible for the rental, maintenance, and day-to-day operations of several large apartment complexes in a New Jersey small town. Using data from similar buildings she manages in a near-by suburb, Angela would like to simulate the number of water pipes each year from the probability of failures during a year as follows:
Number of Water Pipes Failures | Probability |
0 | 0.20 |
1 | 0.07 |
2 | 0.22 |
3 | 0.21 |
4 | 0.16 |
5 | 0.05 |
6 | 0.09 |
Do the following:
- For a span of thirty years, simulate Angela's yearly water pipe failures. Compute the average number of failure per year.
- Using the probability distribution, explain any difference between the simulated average failures and the expected value of failures.
Please use excel
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