Reference no: EM132260947
Barbara Flynn sells papers at a newspaper stand for $0.35. The papers cost her $0.20, giving her a $0.15 profit on each one she sells. From past experience Barbara knows that:
A) 20% of the time she sells 50 papers.
B) 20% of the time she sells 100 papers
C) 30% of the time she sells 150 papers
D) 30% of the time she sells 200 papers
Assuming that Barbara believes the cost of a lost sale to be $0.05 and any unsold papers cost her $0.20 and she orders 150 papers.
Using the following random numbers: 88, 32, 96, 74, and 6 for simulating Barbara’s profit. (Note: Assume the random number interval begins at 01 and ends at 00.)
Based on the given probability distribution and the order size, for the given random number Barbara’s SALES and PROFIT are? (enter your responses for sales as integers l and round all profit responses to two decimal places.)
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