The parts manager for a large Jeep dealer starts each month with 4 replacement transfer cases on stock. Past experience has indicated that the monthly demand for transfer cases, D, is given by: P(D=0) = .20, P(D=1)=.45, P(D=2) = .25, P(D=3) = .08, and P(D=4) = .02.

The profit from the sale of a transfer case is $650. What is the expected profit each month from the sale of transfer cases? (Round your answer to 2 decimal places).

1. $825.50
2. $1202.50
3. $2600.00
4. $955.50
5. $1774.50