Part 1: Define Monte Carlo simulation in your own words. Also define base case, best case and worst case in your own words is they pertain to simulation.

Part 2: Management is interested in using simulation to estimate the profit per unit of a potential new product. The selling price for the new product will be $45 per unit and the probability distributions for the costs (purchase, labor, and transportation) are as follows:

Procurement Cost ($)	Probability	Labor Cost ($)	Probability	Transportation Cost ($)	Probability
10	0.45	20	0.10	3	0.75
11	0.25	22	0.25	5	0.25
12	0.30	24	0.35
		25	0.30

Using the data in the table provided above, calculate/respond to the following questions:

a. Compute the profit per unit for the base case, worst-case, and best-case scenarios?

b. For each cost setup the random number intervals given the distributions provided above.

c. Simulate the labor cost given the random numbers 0.1091, 0.9407, 0.8083, and 0.0941.