A new car battery is sold with a two-year warranty whereby the owner gets the battery replaced free of cost if it breaks down during the warranty period. Suppose an auto store makes a net profit of $20 on batteries that stay trouble-free during the warranty period it makes a net loss of $10 on batteries that break down. The life of batteries is known to be normally distributed with a mean and a standard deviation of 40 and 16 months, respectively. a. What is the probability that a battery will break down during the warranty period? (Round your answer to 4 decimal places.) Probability es b. What is the expected profit of the auto store on a battery? (Round your answer to 3 decimal places.) Expected profit < Prev 7 of 11 Next > WIH ype here to search Sock 6. OP R] enter H. K DAUSE 2N M alt ctri 00

A new car battery is sold with a two-year warranty whereby the owner gets the battery replaced free of cost if it breaks down during the warranty period. Suppose an auto store makes a net profit of $20 on batteries that stay trouble-free during the warranty period it makes a net loss of $10 on batteries that break down. The life of batteries is known to be normally distributed with a mean and a standard deviation of 40 and 16 months, respectively. a. What is the probability that a battery will break down during the warranty period? (Round your answer to 4 decimal places.) Probability es b. What is the expected profit of the auto store on a battery? (Round your answer to 3 decimal places.) Expected profit < Prev 7 of 11 Next > WIH ype here to search Sock 6. OP R] enter H. K DAUSE 2N M alt ctri 00

MATLAB: An Introduction with Applications

6th Edition

ISBN:9781119256830

Author:Amos Gilat

Publisher:Amos Gilat

Chapter1: Starting With Matlab

Section: Chapter Questions

Problem 1P

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Suppose that replacement times for washing machines are normally distributed with a mean of 8.3 years and a standard deviation of 1.3 years. Find the replacement time that separates the top 18% from the bottom 82%. Round to the nearest tenth. Click to view page 1 of the table. Click to view page 2 of the table, O A. 8.5 years O B. 9.5 years OC. 8.9 years O D. 7.1 years Click to select your answer. tv MacBook Air 4) F7 80 D00 F4 ES esc FI * & # $ % 9 @ 6 7 8 2 3 4 P W E R
On average, a banana will last 6.3 days from the time it is purchased in the store to the time it is too rotten to eat. The standard deviation is 2.1 days. Will the average banana spoil earlier if the banana is hung from the ceiling? The data show results of an experiment with 16 bananas that are hung from the ceiling. Assume that that distribution of the population is normal. 5, 8, 5, 7, 4, 4, 6, 8, 6, 7, 5, 7, 6, 3, 6,2 What can be concluded at the 0.10 level of significance? H0: = 6.3 Ha: [ Select ] [">", "<", "Not Equal To"] 6.3 Test statistic:[ Select ] ["T", "Z"] p-Value = [ Select ] ["0.02", "0.08", "0.04", "0.16"] [ Select ] ["Reject Ho", "Fail to Reject Ho"] Conclusion: There is [ Select ] ["insufficient", "statistically significant"] evidence to make the conclusion that the population mean time that it takes for bananas to spoil if they are hung from the ceiling is less than 6.3 days.
A Scenario: Jimmy store sells large tins of Tom Tucker Coffee. The deli uses a periodic review system. Inventory is checked every 10 days which more orders are needed for tins. Order lead time is 3 days. Average demand is 7 tins, so average demand during the reorder period and order lead time (13) is 91 tins. Standard deviation of demand during the same 13 day period is 17 tins.1. Calculate the restocking level ( Assume the desired level is 90%)2. Suppose standard deviation of demand during the 13-day period drops to 4 tins. What happened to restocking level? Explain why?3. Draw a saw-tooth diagram. Beginning inventory level is equal to restocking level and the demand rate is a constant 7 tins per day. What is the safety stock level? What is the average inventory level?
Andrew plans to retire in 40 years. He plans to invest part of his retirement funds in stocks, so he seeks out information on past returns. He learns that over the entire 20th century, the real (that is, adjusted for inflation) annual returns on U.S. common stocks had mean 8.7% and standard deviation 20.2%. The distribution of annual returns on common stocks is roughly symmetric, so the mean return over even a moderate number of years is close to Normal. What is the probability (assuming that past pattern of variation continues) that the mean annual return on common stocks over the next 40 years will exceed 10%? What is the probability that the mean return will be less than 5%?
On average, a banana will last 6.1 days from the time it is purchased in the store to the time it is too rotten to eat. Is the mean time to spoil greater if the banana is hung from the ceiling? The data show results of an experiment with 12 bananas that are hung from the ceiling. Assume that that distribution of the population is normal. 5.5, 6.6, 5.1, 8.4, 7.1, 5.1, 4.8, 5.1, 8.1, 5.4, 7, 7.8 What can be concluded at the the a = 0.05 level of significance level of significance? a. For this study, we should use Select an answer b. The null and alternative hypotheses would be: Ho: ? Select an answer ✓ H₁: ? Select an answer ✓ 4 c. The test statistic?v= (please show your answer to 3 decimal places.) (Please show your answer to 4 decimal places.) d. The p-value =
Suppose that the annual rate of return for a common biotechnology stock is normally distributed with a mean of 5% and a standard deviation of 6%. Find the probability that the one-year return of this stock will be positive. Round your answer to at least four decimal places.
On average, a banana will last 6.5 days from the time it is purchased in the store to the time it is too rotten to eat. Is the mean time to spoil different if the banana is hung from the ceiling? The data show results of an experiment with 11 bananas that are hung from the ceiling. Assume that that distribution of the population is normal. 5.3, 6, 5.5, 7, 5.4, 5.7, 6.2, 6.4, 9.1, 8.7, 8.3 What can be concluded at the the a = 0.01 level of significance level of significance? a. For this study, we should use Select an answer b. The null and alternative hypotheses would be: Ho: ?v Select an answerv H: ?vSelect an answerv C. The test statistic ?v = (please show your answer to 3 decimal places.) d. The p-value = (Please show your answer to 4 decimal places.) e. The p-value is ?v a f. Based on this, we should Select an answerv the null hypothesis. R. Thus, the final conclusion is that 2
A certain brokerage house wants to estimate the mean daily return on a certain stock. A random sample of 12 days yields the following return percentages.−1.81, 1.54, 1.52, −2.58, −2.3, 0.97, 0.93, −1.06, 1.04, 0.2, −0.63, −2.75 Send data to calculator If we assume that the returns are normally distributed, find a 90% confidence interval for the mean daily return on this stock. Then find the lower limit and upper limit of the 90% confidence interval. Carry your intermediate computations to at least three decimal places. Round your answers to one decimal place. (If necessary, consult a list of formulas.) Lower limit: ? Upper limit: ?