A businessman is shipping a machine to another country. The cost of overhauling is $2700. If the machine fails in operation in the other country, it will cost $5500 in lost production andrepairs. He estimates the probability that it will fail at 0.3 if it is not overhauled, and 0.2 if it is overhauled. Neglect the possibility that the machine might fail more than once in the 4years(a) Prepare a payoff matrix.(b) What should the businessman do to minimize his expected costs?(a) Fill in the entries of the payoff matrixFails Does Not Fail8 81(b) Would overhauling the machine before shipping minimize the businessman's expected costs?OverhaulDoes Not OverhaulCETTOYesO No

A businessman is shipping a machine to another country. The cost of overhauling is 2700. If the…

Answered: cost tion and pars. He estimates the…

Advanced Engineering Mathematics

10th Edition

ISBN:9780470458365

Author:Erwin Kreyszig

Publisher:Erwin Kreyszig

Chapter2: Second-order Linear Odes

Section: Chapter Questions

Problem 1RQ

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According to scientists, the cockroach has had 300 million years to develop a resistance to destruction. In a study conducted by researchers, 5,000 roaches (the expected number in a roach-infested house) were released in the test kitchen. One week later, the kitchen was fumigated and 18,857 dead roaches were counted, a gain of 13,857 roaches for the 1-week period. Assume that none of the original roaches died during the 1-week period and that the standard deviation of x, the number of roaches produced per roach in a 1-week period, is 1.4. Use the number of roaches produced by the sample of 5,000 roaches to find a 90% confidence interval for the mean number of roaches produced per week for each roach in a typical roach-infested house. Find a 90% confidence interval for the mean number of roaches produced per week for each roach in a typical roach-infested house. (Round to three decimal places as needed.)
1. ABC inc. stock is currently selling for $30, one year from today the stock price can either increase by 20% or decrease by 15%. The probability of an increase in the stock price is equal to 0.3. The one-year risk-free rate is 5% What is the value of a European put that expires in one year with an exercise price of $24. 2. Graphically, show the value and the profit and loss of the following butterfly position: Long in a call with an exercise price of $30, short in 2 calls with an exercise price of $45, and long in a call with an exercise price of 60. All calls are written on the same stock and have the same maturity. 3. "Early exercise of an American option on a stock that does not pay any dividend is not optimal regardless of whether the option is a Call or a Put". True, False, or Uncertain. Explain.
Assume the chances of failure of each component is given in Figure. What is the probability that the system would not work? .
Please no written by hand solution
y of Chapter 2 : Borr x G Identify 4 Goals/Outcomes we st x Presentation Session Student tlhiqsxqk Warm-up • The Math Club is using the prediction equation • y = 1.25x + 10 to estimate the number of members it will have, where x represents the number of years the club has been in existence. About how many members does the club expect to have in its fifth year? PaDeck Students, draw anywhere on this slide! Slide 4/24
Q2: Correct answer please in details: Due to population growth in the area, the new Liberty High School has just opened in a local school district. The athletic director at Liberty High is planning the launch of the school's track and field team. The first team practice is scheduled for April 1. The activities, their immediate predecessors, and the activity time estimates (in weeks) are listed in the following table. Time (Weeks) Activity Description ImmediatePredecessor Optimistic Most Probable Pessimistic A Meet with board 1 1 2 B Hire coaches A 4 6 8 C Conduct fundraiser A 2 4 6 D Announce program B, C 1 2 3 E Meet with coaches B 2 3 4 F Order team equipment A 1 2 3 G Register athletes D 1 2 3 H Reserve buses for meets G 1 2 3 I Plan first practice E, H, F 1 1 1 What is the expected project completion time (in weeks)? (Round your answer to two decimal places.) If the athletic director plans to start the project on January 1, calculate the…
116. For a device to work properly, three subsystems of the device must all function properly. To increase the reliability of the device, spare units may be added to each system. It costs 100 TL to add a spare unit to system 1, 300 TL to system 2, and 200 TL to system 3. As a function of the number of added spares (a maximum of two spares may be added to each system), the probability that each system will work is given in Table. Use dynamic programming to maximize the probability that the device will work properly, given that 600 TL is available for spare units. Identify and explain decision variables, stages, states and formulate a recursion to design the device with optimal reliability. Probability that a system works system 1 Number of spares system 3 system 2 .60 .85 .70 1 .90 .85 .90 2 .95 .95 .98 117. You are planning on moving to a new house. You need to move n items of size aj , j-1,2,.,.n. You have bought m boxes (box i has size bi , i- 1,2,.,m). You need to rent a truck that…
H6.
A researcher designed a study to test whether caffeine use enhanced performance time to run a 100 meter sprint. The participants (n=30) ran a 100 meter sprint before the consumption of caffeine on day 1 and then they ran another 100 meter sprint on the following day 2 after ingesting caffeine. The average time taken to run the 100 meter sprint on day 1 was (M1) and the average to run on day 2 after caffeine was (M2). The variance for this study was calculated to be (S2). Does caffeine use improve the running time in the 100 meter sprint (e.g., lower time)? Use all of the data provided to you below and test at an alpha of 0.05. M1 = 26.53M2 = 14.69S2 = 207.75n=30 a) state null and alternate hypothesis b) what is the critical value c) what is the obtained value d) conclusion
From observations of the weather, it is known that on October 20 the probability of rain is 0.85. A certain forecast method for October 20 is correct 0.9 times if rain is predicted and 0.75 times if no rain is predicted. How much information does a real weather forecast provide 20 th of October? n.b the picture is example of solution

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