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Myers Business Systems is evaluating the introduction of a new product. The possible levels of unit sales and the probabilities of their occurrence are given
Myers Business Systems is evaluating the introduction of a new product. The possible levels of unit sales and the probabilities of their occurrence are given next:
Possible Market Reaction | Sales in Units | Probabilities | ||||
Low response | 30 | 0.10 | ||||
Moderate response | 40 | 0.10 | ||||
High response | 55 | 0.20 | ||||
Very high response | 65 | 0.60 | ||||
a. What is the expected value of unit sales for the new product? (Do not round intermediate calculations and round your answer to the nearest whole unit.)
Expected value (units) -
b. What is the standard deviation of unit sales? (Do not round intermediate calculations. Round your answer to 2 decimal places.)
Standard deviation (units) -
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