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You own a business that sells two products, face masks (FM) and hand sanitizer (HS). Given the uncertainty surrounding developments in both markets, you hired

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You own a business that sells two products, face masks (FM) and hand sanitizer (HS). Given the uncertainty surrounding developments in both markets, you hired a consultant to assess what is the revenue you can expect and the associated variance over the next 12 months for each product as well as the covariance between the two. The consultant miraculously provided you with the following true population information (all figures are in US $) adding that both are from a normal distribution: Expected revenue from FM (E(FM)] - 400; variance of revenue from FM [Var(FM) - 144) Expected revenue from HS (EHS)) - 200 variance of revenue from HS Var(HS) - 1001 Covariance (FM, HS) - 50 A. Calculate your expected total revenue E(TR) from the two products (3 POINTS) B. Calculate the variance of total revenue Var(TR) (7 POINTS) C. What is the probability that revenue from FM [P[EM]is greater than 600? (10 POINTS) You own a business that sells two products, face masks (FM) and hand sanitizer (HS). Given the uncertainty surrounding developments in both markets, you hired a consultant to assess what is the revenue you can expect and the associated variance over the next 12 months for each product as well as the covariance between the two. The consultant miraculously provided you with the following true population information (all figures are in US $) adding that both are from a normal distribution: Expected revenue from FM (E(FM)] - 400; variance of revenue from FM [Var(FM) - 144) Expected revenue from HS (EHS)) - 200 variance of revenue from HS Var(HS) - 1001 Covariance (FM, HS) - 50 A. Calculate your expected total revenue E(TR) from the two products (3 POINTS) B. Calculate the variance of total revenue Var(TR) (7 POINTS) C. What is the probability that revenue from FM [P[EM]is greater than 600? (10 POINTS)

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