An automobile dealer owns two dealerships that are located 500 miles apart. Auto sales at each location are independent of sales at the other. Probabilities of high, normal and low sales in each region next quarter are as follows: Sales Level Location A Location B High .3 .4 Normal .4 .4 Low .3 .2 The probability that both locations will have high sales next quarter is (E) a. 35% b. 10% c. 15% d. 12%
An automobile dealer owns two dealerships that are located 500 miles apart. Auto sales at each location are independent of sales at the other. Probabilities of high, normal and low sales in each region next quarter are as follows: Sales Level Location A Location B High .3 .4 Normal .4 .4 Low .3 .2 The probability that both locations will have high sales next quarter is (E) a. 35% b. 10% c. 15% d. 12%
Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
Problem 1PS
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An automobile dealer owns two dealerships that are located 500 miles apart. Auto sales at each location are independent of sales at the other. Probabilities of high, normal and low sales in each region next quarter are as follows:
|
Sales Level |
Location A |
Location B |
|
High |
.3 |
.4 |
|
Normal |
.4 |
.4 |
|
Low |
.3 |
.2 |
a. 35%
b. 10%
c. 15%
d. 12%
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