The budgeting process for a midwestern college resulted in expense forecasts for the coming year (in $ millions) of $9, $10, $11, $12, and $13. Because the actual expenses are unknown, the following respective probabilities are assigned: 0.3, 0.25, 0.2, 0.2, and 0.05. (a) Show the probability distribution for the expense forecast. f(x) 9 0.3 10 0.25 11 0.2 12 0.2 13 0.05 (b) What is the expected value (in $ millions) of the expense forecast for the coming year? $ 10.45 million (c) What is the variance of the expense forecast for the coming year? (d) If income projections for the year are estimated at $12 million, comment on the financial position of the college. With this estimate, the college can expect a profit (in $ million) of $ 1.55 million causing the college to run a deficit million. From the assigned probability, there is chance that expenses will equal $13
The budgeting process for a midwestern college resulted in expense forecasts for the coming year (in $ millions) of $9, $10, $11, $12, and $13. Because the actual expenses are unknown, the following respective probabilities are assigned: 0.3, 0.25, 0.2, 0.2, and 0.05. (a) Show the probability distribution for the expense forecast. f(x) 9 0.3 10 0.25 11 0.2 12 0.2 13 0.05 (b) What is the expected value (in $ millions) of the expense forecast for the coming year? $ 10.45 million (c) What is the variance of the expense forecast for the coming year? (d) If income projections for the year are estimated at $12 million, comment on the financial position of the college. With this estimate, the college can expect a profit (in $ million) of $ 1.55 million causing the college to run a deficit million. From the assigned probability, there is chance that expenses will equal $13
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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Question
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The budgeting process for a midwestern college resulted in expense forecasts for the coming year (in $ millions) of $9, $10, $11, $12, and $13. Because the actual expenses
are unknown, the following respective probabilities are assigned: 0.3, 0.25, 0.2, 0.2, and 0.05.
... ..... . ...
(a) Show the probability distribution for the expense forecast.
f(x)
9
0.3
10
0.25
11
0.2
12
0.2
13
0.05
(b) What is the expected value (in $ millions) of the expense forecast for the coming year?
$ 10.45
million
(c) What is the variance of the expense forecast for the coming year?
(d) If income projections for the year are estimated at $12 million, comment on the financial position of the college.
million. From the assigned probability, there is chance that expenses will equal $13
With this estimate, the college can expect a profit (in $ million) of $ 1.55
million causing the college to run a deficit](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Fc00f41a8-3019-411c-9841-b4d3b90602dd%2F07f4f913-d1ec-45ef-9546-9b23e9e56815%2Fbz4jdh_processed.jpeg&w=3840&q=75)
Transcribed Image Text:......................................
..........................
The budgeting process for a midwestern college resulted in expense forecasts for the coming year (in $ millions) of $9, $10, $11, $12, and $13. Because the actual expenses
are unknown, the following respective probabilities are assigned: 0.3, 0.25, 0.2, 0.2, and 0.05.
... ..... . ...
(a) Show the probability distribution for the expense forecast.
f(x)
9
0.3
10
0.25
11
0.2
12
0.2
13
0.05
(b) What is the expected value (in $ millions) of the expense forecast for the coming year?
$ 10.45
million
(c) What is the variance of the expense forecast for the coming year?
(d) If income projections for the year are estimated at $12 million, comment on the financial position of the college.
million. From the assigned probability, there is chance that expenses will equal $13
With this estimate, the college can expect a profit (in $ million) of $ 1.55
million causing the college to run a deficit
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