Essentials of Modern Business Statistics with Microsoft Office Excel (Book Only)
7th Edition
ISBN: 9781337298353
Author: David R. Anderson, Dennis J. Sweeney, Thomas A. Williams
Publisher: South-Western College Pub
expand_more
expand_more
format_list_bulleted
Concept explainers
Videos
Textbook Question
Chapter 5, Problem 5.4.2CP
Sagittarius Casino
The Sagittarius Casino's strategy for establishing a competitive advantage over its competitors is to create unique and interesting new games for its customers to play. Sagittarius management feels it is time for the casino to once again introduce a new game to excite its customer base, and Sagittarius' s Director of Research and development, Lou Zerbit, believes he and his staff have developed a new game that will accomplish this goal. The game, which they have named POSO! (an acronym for Payouts On Selected Outcomes), is to be played in the following manner. A player will select two different values from 1, 2, 3, 4, 5, and 6. Two dice are then rolled. If the first number the player selected comes up on at least one of the two dice, the player wins $5.00; if the second number the player selected comes up on both of the dice, the player wins $10.00. If neither of these
For example, suppose a player fills out the following card for one game of POSO! 
When When the two dice are rolled, if at least one die comes up 4 the player will win $5.00, if both dice come up 2 the player will win $10.00, and if any other outcome occurs the player wins nothing.
Managerial Report
Sagittarius management now has three questions about POSO! These questions should be addressed in your report.
2. What is the expected amount a player will win when playing one game of POSO!?
Expert Solution & Answer
Want to see the full answer?
Check out a sample textbook solution
Students have asked these similar questions
a.) Give an example of a business problem where simulation would be helpful.
b.) Explain how the simulation is being used to make a business decision.
Toys Everyday must decide which course of action to follow in promoting a new Gizmo toy it has developed. Initially management must decide whether to market this toy or to conduct a test marketing programme. After test marketing the Gizmo, management must decidewhether to abandon it or distribute it nationally.A national success will (NS) will increase profits by $1,000,000 and a failure (NF) will reduce profits by $200,000. Abandoning the product will not affect profits. The test marketing will cost the company a further $20,000.
After you have computed the revised probabilities round to two decimal placesa) Construct the appropriate decision tree to help Toys make the appropriate decisions. This tree must be constructed in logical order with labels and net payoffsIt also includes the revised probabilities b) Fold back the decision tree to determine the best strategy for Toys; you must state this strategy. What is the final expected profit?c) What is the expected value of sample…
Toys Everyday must decide which course of action to follow in promoting a new Gizmo toy it has developed. Initially management must decide whether to market this toy or to conduct a test marketing programme. After test marketing the Gizmo, management must decidewhether to abandon it or distribute it nationally.A national success will (NS) will increase profits by $1,000,000 and a failure (NF) will reduce profits by $200,000. Abandoning the product will not affect profits. The test marketing will cost the company a further $20,000.
Conditional probability for a given state of nature where test results are either Favourable (F) or negative (U): P(F|NS) = 0.88; P(U|NS) = 0.12; P(F|NF) = 0.18; P(U|NF) = 0.82
After you have computed the revised probabilities round to two decimal places
a) Construct the appropriate decision tree to help Toys make the appropriate decisions. This tree must be constructed in logical order with labels and net payoffs
It also includes the revised probabilities…
Chapter 5 Solutions
Essentials of Modern Business Statistics with Microsoft Office Excel (Book Only)
Ch. 5.1 - Three students scheduled interviews for summer...Ch. 5.2 - The following data were collected by counting the...Ch. 5.2 - Employee retention is a major concern for many...Ch. 5.2 - Prob. 10ECh. 5.2 - Prob. 11ECh. 5.2 - Prob. 13ECh. 5.3 - During the summer of 2014, Coldstream Country Club...Ch. 5.3 - Prob. 21ECh. 5.4 - Prob. 26ECh. 5.4 - The Chamber of Commerce in a Canadian city has...
Ch. 5.5 - Prob. 32ECh. 5.5 - Prob. 37ECh. 5.5 - Prob. 40ECh. 5.6 - Consider a Poisson distribution with a mean of two...Ch. 5.6 - Prob. 47ECh. 5.6 - Prob. 50ECh. 5.7 - Prob. 52ECh. 5.7 - Prob. 56ECh. 5 - The U.S. Coast Guard (USCG) provides a wide...Ch. 5 - Prob. 62SECh. 5 - Grievance Committee at Tuglar Corporation Several...Ch. 5 - Sagittarius Casino The Sagittarius Casino's...Ch. 5 - Sagittarius Casino The Sagittarius Casino's...
Knowledge Booster
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, statistics and related others by exploring similar questions and additional content below.Similar questions
- 5. A coffee merchant sells three blends of coffee. A bag of the house blend contains 300 grams of Colombian beans and 200 grams of French roast beans. A bag of the special blend contains 200 grams of Colombian beans, 200 grams of Kenyan beans, and 100 grams of French roast beans. A bag of the gourmet blend contains 100 grams of Colombian beans, 200 grams of Kenyan beans, and 200 grams of French roast beans. The merchant has on hand 30 kilograms of Colombian beans, 15 kilograms of Kenyan beans, and 25 kilograms of French roast beans. If he wishes to use up all of the beans, how many bags of each type of blend can be made?arrow_forwardToys Everyday must decide which course of action to follow in promoting a new Gizmo toy it has developed. Initially management must decide whether to market this toy or to conduct a test marketing programme. After test marketing the Gizmo, management must decide whether to abandon it or distribute it nationally. A national success will (NS) will increase profits by $1,000,000 and a failure (NF) will reduce profits by $200,000. Abandoning the product will not affect profits. The test marketing will cost the company a further $20,000. Decision Alternatives NS(NATIONAL | NF(NATIONAL FAILURE) SUCCESS) Market 1000,000 ($200,000) Abandon Prior Probabilities P(S) = 0.45 P(F) = .55 Conditional probability for a given state of nature where test results are either Favourable (F) P(U|NS) = 0.12; or negative (U): P(F]NS) = 0.88; P(U|NF) = 0.82 P(F|NF) = 0.18; After you have computed the revised probabilities round to two decimal places a) Construct the appropriate decision tree to help Toys make…arrow_forwardStudy techniques Your mathematics test is tomorrow and will cover the following topics: game theory, linear programming, and matrix algebra. You have decided to do an "all-nighter" and must determine how to allocate your 8 hours of study time among the three topics. If you were to spend the entire 8 hours on any one of these topics (thus using a pure strategy), you feel confident that you would earn a 90% score on that portion of the test but would not do so well on the other topics. You have come up with the following table, where the entries are your expected scores. (The fact that linear programming and matrix algebra are used in game theory is reflected in these numbers.) Test Game Linear Matrix Your Strategies Theory Programming Algebra Game Theory 90 80 60 Linear Programming 50 90 50 Matrix Algebra 70 30 90 You have been told that the test will be weighted as follows: game theory: 25%; linear programming: 50%; matrix algebra: 25%. (a) If you spend 25% of the night on game theory,…arrow_forward
- Keeping track of the players - Gaile works for a software company that runs a massive multi-player online role-playing game. The game runs on two different servers, one located in North America (NA) and the other in Europe (EU). At any given time, players can be playing in one of three game modes: Open World, Story Instance, or Player v. Player. At 10:00 AM Pacific time on a Sunday, Gaile downloaded a list of players who were online at that time, then selected a group of 1130 of those players and recorded the game mode they were playing at that time and the server they were playing on. The results are summarized in the table below. Server Open World Story Instance Player v. Player Total NA 412 123 188 723 EU 167 85 155 407 Total 579 208 343 1130 Suppose Gaile randomly selects one of the 1130 players represented in the table above. Round all answers to 4 decimal places. 1. What is the probability the selected player was playing in Open World mode? 2. What is the chance the selected…arrow_forwardCompany Alpha and Company Beta are the only hotels in a small town. Before a large event in the town, they project the following profit payoff scenarios based on offering free breakfast or not, measured in thousands of dollars. Company Beta Free Breakfast No Free Breakfast Company Alpha Free Breakfast $90, $95 $25, $110 No Free Breakfast $105, $65 $60, $55 a. Does Company Alpha have a dominant strategy to offer a free breakfast, no breakfast, or no dominant strategy? b. Does Company Beta have a dominant strategy to offer a free breakfast, no breakfast, or no dominant strategy? c. Assuming no cooperation, what will the profit be for each hotel? d. The government offers a $20,000 subsidy for offering free breakfast. Draw a new payoff matrix reflecting the subsidy. e. Assuming no cooperation, what will the profit be for each hotel after the subsidy?arrow_forwardPART 4: BALLOON DARTS (TWO-WAY TABLES) You have decided to place some camival games throughout the park to increase revenue. One of the games is balloon darts. The dartboard is covered with solid, striped, and polka dot balloons. In the space below, color your dartboard with the three balloon types... any way you'd like! There doesn't have to be the same amount of each style, just color them any way you choose. The first few have been done for you. QOOOO OOO O O O O Q Q Q 888 388 If a person pops a polka dot balloon with a dart, they win a prize. Let the first row of balloons represent the ones that were popped by your guests. Let the second row of balloons represent the ones that were not popped by your guests. Complete the two-way table below. Type of Balloon Number of times Popped Solid Polka Dot Striped Total Number of times NOT popped Total D • USE THE ABOVE INFORMATION TO ANSWER THE QUESTIONS BELOW: (Express your answer as a fraction, decimal, and percent) 1) What is the…arrow_forward
- Game theory problems For the game: row a b X Column у -3 2 4 -1 1. Does this game have a saddle point? 2. Find the optimal mixed strategy for each player. 3. What is the value of the game? 4. Interpret the solution. Please be as clear and legible as possible. Show and explain all the steps in detail. Thank you a lot.arrow_forwardAdvertising You are the marketing director for a company that manufactures bodybuilding supplements and you are planning to run ads in Magazine A and Magazine B. Based on readership data, you estimate that each one-page ad in Magazine A will be read by 750,000 people in your target group, while each one-page ad in Magazine B will be read by 225,000 people in your target group. You would like your ads to be read by at least 5 million people in the target group, and, to ensure the broadest possible audience, you would like to place at least three full-page ads in each magazine during the year. Draw the feasible region showing how many pages you can purchase in each magazine. Find the corner points of the region. (Place Magazine A on the x-axis and Magazine B on the y-axis.) y (x, y) = (x, y) = ( | 20 15 10 5 y 20 15 10 5 5 Solution Set 10 15 20 Solution Set 5 10 15 20 X X y 20 15 10 5 y 20 15 10 5 5 Solution Set 10 15 20 Solution Set 5 10 15 20 X X Ⓡ Ⓒ Find the corner points of the…arrow_forwardAdvertising You are the marketing director for a company that manufactures bodybuilding supplements and you are planning to run ads in Magazine A and Magazine B. Based on readership data, you estimate that each one-page ad in Magazine A will be read by 750,000 people in your target group, while each one-page ad in Magazine B will be read by 150,000 people in your target group. You would like your ads to be read by at least 5 million people in the target group, and, to ensure the broadest possible audience, you would like to place at least four full-page ads in each magazine during the year. Draw the feasible region showing how many pages you can purchase in each magazine. Find the corner points of the region. (Place Magazine A on the x-axis and Magazine B on the y-axis.) The x y-coordinate plane is given. There are 3 lines and a region labeled "solution set" on the graph. The first line enters the window in the first quadrant, goes down and right, passes through the approximate…arrow_forward
- not use ai pleasearrow_forwardSITUATIONAL ANALYSIS: Gardening has always been touted as a relaxing recreational activity that can provide great personal rewards. During this time, when many people are working at home and students are learning at home, gardening can be a positive family-inclusive activity to adopt. Liza and her family made planting a habit and a family bonding. On a Saturday morning, Liza and her older brother are tasked to plant a vegetables. Liza take 2 hours to plant 50 eggplant seeds. Edgar takes 3 hours to plant 45 tomato seeds. Working together, how long should it take them to plant 200 vegetables? Conclude whether if it's more efficient to work together or to work individually at their own pace.arrow_forwardtab shift While making up his schedule for spring semester, Tom complains that he doesn't have very many choices of schedule because of the general education requirements he has to meet. His advisor tells Tom that he has to take one course from each of English (8 choices), History (6 choices), Math/Stats (4 choices), Computer Science (6 choices), and general Science (4 choices). Does Tom have a legitimate gripe? caps lock (a) If every possible course is available at the time he's registering, how many possible schedules can he choose from (disregarding when the classes meet)? Tom can choose from possible schedules. (b) In an unprecedented effort to make the general education requirements more accessible, the dean of Tom's college decides to double the number of acceptable courses in each of those five areas. What effect does this have on the number of possible schedules? control Tom can choose from possible schedules when the number of acceptable courses are doubled. The number of…arrow_forward
arrow_back_ios
SEE MORE QUESTIONS
arrow_forward_ios
Recommended textbooks for you
Glencoe Algebra 1, Student Edition, 9780079039897...AlgebraISBN:9780079039897Author:CarterPublisher:McGraw Hill
Algebra and Trigonometry (MindTap Course List)AlgebraISBN:9781305071742Author:James Stewart, Lothar Redlin, Saleem WatsonPublisher:Cengage Learning
Linear Algebra: A Modern IntroductionAlgebraISBN:9781285463247Author:David PoolePublisher:Cengage Learning
Algebra & Trigonometry with Analytic GeometryAlgebraISBN:9781133382119Author:SwokowskiPublisher:Cengage
Glencoe Algebra 1, Student Edition, 9780079039897...
Algebra
ISBN:9780079039897
Author:Carter
Publisher:McGraw Hill
Algebra and Trigonometry (MindTap Course List)
Algebra
ISBN:9781305071742
Author:James Stewart, Lothar Redlin, Saleem Watson
Publisher:Cengage Learning
Linear Algebra: A Modern Introduction
Algebra
ISBN:9781285463247
Author:David Poole
Publisher:Cengage Learning
Algebra & Trigonometry with Analytic Geometry
Algebra
ISBN:9781133382119
Author:Swokowski
Publisher:Cengage
Mod-01 Lec-01 Discrete probability distributions (Part 1); Author: nptelhrd;https://www.youtube.com/watch?v=6x1pL9Yov1k;License: Standard YouTube License, CC-BY
Discrete Probability Distributions; Author: Learn Something;https://www.youtube.com/watch?v=m9U4UelWLFs;License: Standard YouTube License, CC-BY
Probability Distribution Functions (PMF, PDF, CDF); Author: zedstatistics;https://www.youtube.com/watch?v=YXLVjCKVP7U;License: Standard YouTube License, CC-BY
Discrete Distributions: Binomial, Poisson and Hypergeometric | Statistics for Data Science; Author: Dr. Bharatendra Rai;https://www.youtube.com/watch?v=lHhyy4JMigg;License: Standard Youtube License