2.3-9. A warranty is written on a product worth $10,000 so that the buyer is given $8000 if it fails in the first year, $6000 if it fails in the second, $4000 if it fails in the third, $2000 if it fails in the fourth, and zero after that. The prob- ability of the product's failing in a year is 0.1; failures are independent of those of other years. What is the expected value of the warranty?

2.3-9. A warranty is written on a product worth $10,000 so that the buyer is given $8000 if it fails in the first year, $6000 if it fails in the second, $4000 if it fails in the third, $2000 if it fails in the fourth, and zero after that. The prob- ability of the product's failing in a year is 0.1; failures are independent of those of other years. What is the expected value of the warranty?

A First Course in Probability (10th Edition)

10th Edition

ISBN:9780134753119

Author:Sheldon Ross

Publisher:Sheldon Ross

Chapter1: Combinatorial Analysis

Section: Chapter Questions

Problem 1.1P: a. How many different 7-place license plates are possible if the first 2 places are for letters and...

See similar textbooks

Similar questions

Need help with this Intro to probability and statistics homework problem. Below the homework problem is the answers from the textbook. Make sure your handwriting is neat and readable.
If the lottery costs $1 per ticket, what is the expected net cash if you buy one ticket? Please remember to factor in the cost of playing. Round to the nearest cent. Expected Net Cash = $
Help please.
The mean of the scores 2, 2, 2, 6 is?
You buy a lottery ticket that costs $20. There are only 100 tickets available to be sold in this lottery. There are three $500 prizes, 4 $100 prizes, and 10 $20 prizes. Find your expected gain or loss. Round your answer to 2 decimal places. Please do not include the dollar sign in your answer (Ctrl) -
Help please...
Need help with this Intro to probability and statistics homework problem. Below the homework problem is the answers from the textbook. Make sure your handwriting is neat and readable.
Need help with this Intro to probability and statistics homework problem. Below the homework problem is the answers from the textbook. Make sure your handwriting is neat and readable.
Need help with ONLY part (d) on this Intro to probability and statistics homework problem. Below the homework problem is the answers from the textbook. Make sure your handwriting is neat and readable.
The question out of the book is " Find the probability of drawing 4 aces. Hint: how many 5-card hands contain 4 aces?" I need to see the steps in solving, not just the answer. Thanks
hi solve 2, 3&6
At bedtime, you read three books to your kids, Walker, Michael, and Luke. Together, they have 32 books. If you decide to randomly choose three books, what is the probability that the three you choose will consist of each of their favorite books? Assume they have different favorites. Express your answer as a fraction in lowest terms or a decimal rounded to the nearest millionth.