B-1. As a side business, Mr Happy, keeps a fleet of luxury limousines that he rents out to afew individual clients. Each client needs at most 1 limo. The demand per week (i.e., the totalnumber of customers per week) for Mr Happy's limos has the following probabilitydistribution:Demand/Week 0124Probability0.050.20.50.20.05(a) What is the expected value and the variance of the demand per week?(b) Suppose Mr. Happy has only 3 limos. It costs Mr. Happy £3,000 per week to maintaineach limousine and his rental price per limo per week is £4,000. What is his expected weeklyprofit?(c) What is the probability that Mr. Happy makes a profit in a randomly chosen week?(d) Now suppose that you want to enter this business with the same demand distribution asMr. Happy. You have to decide how many limos you want to own to maximize yourexpected profit. The cost of maintaining each limo and the rental price is the same as Mr.Happy. How many limos should you own?

"Since you have posted a question with multiple sub-parts, we will solve the first three sub-parts…

Answered: B-1. As a side business, Mr Happy,…

MATLAB: An Introduction with Applications

6th Edition

ISBN:9781119256830

Author:Amos Gilat

Publisher:Amos Gilat

Chapter1: Starting With Matlab

Section: Chapter Questions

Problem 1P

See similar textbooks

Similar questions

You are working as a portfolio manager for an Asset Management firm. The following table provides the annual returns expected under various market conditions or regime. Each regime has the probability given in the table (i.e. P(Pandemic) = 0.05 and P(Recession) = 0.20, and so on)...Please answer the following questions from the data in the table:
Daily Airlines flies from Amsterdam to London every day. The price of a ticket for this extremely popular flight route is $75. The aircraft has a passenger capacity of 150. The airline management has made it a policy to sell 160 tickets for this flight in order to protect themselves against no-show passengers. Experience has shown that the probability of a passenger being a no-show is equal to 0.1. The booked passengers act independently of each other. Given this overbooking strategy, what is the probability that some passengers will have to be bumped from the flight?
at the bank of california, past data show that 8% of all credit card holders default at some time in their lives. on recent day, this bank issued 12 credit cards to new customers. find the probability that of these 12 customers, eventually a. less than 10 will default b. between 4 to 6 will default
Zeynep plans to invest in Company 1, 2, 3, 4, 5 or 6.An investment is classified to be either a good investment or a bad investment.
Oxnard petri Ltd is buying hurricane insurance for it's off-coast drilling platform. During the next five years, the probability of total loss of only the above-water superstructure ($250 million) is .25, the probability of total loss of the facility ($950 million) is.25, and the probability of no loss is.50. Find the expected loss.( Input the amount as a positive value.) Expected Loss is what?
XYZ Insurer has economic capital of $150,00. It has just collected $450,000 in premiums and projects total loss obligations (liabilities) according to the following table. Projected Total Losses $200,000 S300,000 $400,000 $500,000 S600,000 S700,000 SS00,000 $900.000 Probability of Total Losses 10 20 35 20 10 .03 015 005 What is the probability that XYZ Insurer will not have enough assets and capital to meet its loss obligations? 3% 5% 01:49
Becky and Carla take an advanced yoga class. Becky can hold 29% of her poses for over a minute, while Carla can hold 35% of her poses for over a minute. Suppose each yoga student is asked to hold 50 poses. Let B the proportion of poses Becky can hold for over a minute and C = the proportion of poses Carla can hold for over a minute. What is the probability that Becky's proportion of poses held for over a minute is greater than Carla's? Find the z-table here. O 0.159 O 0,259 0 0.448 O 0,741 Save and Exit Next Submit Math and rem 96 & 7 8 9. 10
The number of customer orders for 21-inch (“two-page”) computer monitors at a large mail-order firm averages 10 monitors per day. The average level of customer demand is constant, and customers do not affect one another in their buying habits. a.Determine the probability that more than 10 monitors will be purchased in a day. b.Find the probability that exactly 7 monitors will be purchased in a day. C.There are currently 12 monitors in stock, and no more will arrive from the manufacturer for another 2 days. What is the probability that no monitor will have to be back ordered?
Suppose a neighborhood grocery store buys 5 containers of skim milk at the wholesale price of $11 per container and sells it for $22 per container. After the expiration date, unsold milk is removed from the shelves and the grocer receives a credit from the distributor equal to three-fourths of the wholesale price. If the probability distribution of the variable is X and the number of containers sold from this lot is x f(x) 0 1/15 1 2/15 2 2/15 3 3/15 4 4/15 5 3/15 Calculate the expected utility. (Round to two decimal places)
Q1. Some couples planning a new family would prefer at least one child of each sex. The probability that a couple’s first child is a boy is 0.512. In the absence of technological intervention, the probability that their second child is a boy is independent of the sex of their first child, and so remains 0.512. Imagine that you are helping a new couple with their planning. If the couple plans to have only two children: What is the probability that at least one girl is born?
There are two routes Jasmine can take to work. Route A has five stoplights. The probability distribution of how many lights at which she will need to stop is below. The average amount of time spent at each stop light on Route A is 30 seconds. Number of red lights 1 2 3 5 Probability 0.04 0.28 0.37 0.14 0.11 0.06 Route B has three stop lights. The probability distribution of Route B is below. The average wait time for these lights is 45 seconds. Number of red lights 1 3 Probability 0.09 0.31 0.40 0.20 Which route should she take?
The personnel director of Gadget Manufacturing Company has compiled the following table, which shows the percent of men and women employees who were absent the indicated number of days. Suppose there are as many women as men employees. Sex Absences (Days) Men Women 0 20% 20% 1–5 40% 20% 6–10 40% 20% 11 or more 0% 40% Total 100% 100% (a) Find the probability that an employee missed 6–10 days, given that the employee is a woman. (Enter your probability as a fraction.)(b) Find the probability that an employee is a woman, given that the employee missed 6–10 days. (Enter your probability as a fraction.)

Recommended textbooks for you

MATLAB: An Introduction with Applications

Statistics

ISBN:

9781119256830

Author:

Amos Gilat

Publisher:

John Wiley & Sons Inc

Probability and Statistics for Engineering and th…

Statistics

ISBN:

9781305251809

Author:

Jay L. Devore

Publisher:

Cengage Learning

Statistics for The Behavioral Sciences (MindTap C…

Statistics

ISBN:

9781305504912

Author:

Frederick J Gravetter, Larry B. Wallnau

Publisher:

Cengage Learning

MATLAB: An Introduction with Applications

Statistics

ISBN:

9781119256830

Author:

Amos Gilat

Publisher:

John Wiley & Sons Inc

Probability and Statistics for Engineering and th…

Statistics

ISBN:

9781305251809

Author:

Jay L. Devore

Publisher:

Cengage Learning

Statistics for The Behavioral Sciences (MindTap C…

Statistics

ISBN:

9781305504912

Author:

Frederick J Gravetter, Larry B. Wallnau

Publisher:

Cengage Learning

Elementary Statistics: Picturing the World (7th E…

Statistics

ISBN:

9780134683416

Author:

Ron Larson, Betsy Farber

Publisher:

PEARSON

The Basic Practice of Statistics

Statistics

ISBN:

9781319042578

Author:

David S. Moore, William I. Notz, Michael A. Fligner

Publisher:

W. H. Freeman

Introduction to the Practice of Statistics

Statistics

ISBN:

9781319013387

Author:

David S. Moore, George P. McCabe, Bruce A. Craig

Publisher:

W. H. Freeman

SEE MORE TEXTBOOKS