Reference no: EM1399175
A company sells two products (Product 1 and Product 2) that tend to be substitutes for each other. That is, if a customer buys Product 1, she tends to not buy Product 2, and vice versa. The company assessed the joint probability distribution of demand for the two products for this year. The joint distribution is shown below. The left margin shows the possible demand amounts for Product 2 and the top margin shows the possible demand amounts for Product 1.
Using this information, we can check to see if these two products behave as partial substitutes.
a. Determine the conditional distribution of demand for Product 2 given that demand for Product 1 is 400. That is, given that demand for Product 1 is at its highest, what are the conditional probabilities for the different demand levels of Product 2?
b. Determine the conditional distribution of demand for Product 1 given that demand for Product 2 is 250.
c. Two products show signs of being substitutes if, when the demand for one product is high, that means the demand for the other product is likely to be low (that is, lower demand for the other product is more likely than higher demand). Do you see any patterns in the conditional probability distributions you calculated above?
|
Multiple regression model using revenue dependent variable
: Estimate a multiple regression model using revenue as your dependent variable. For independent variables, include population, average income, screens, theatre age, and dummy variables for mall and strip mall.
|
|
What if he consumed only 2500 calories per day
: Syed is a body builder. He is concerned about his protein intake. If Syed weighs 200 pounds and consumes about 3600 Calories/day, 15% of which comes from protein, will his diet supply enough protein to meet the recommendation for strength athletes..
|
|
Essay - value of business process improvement
: Write a double-spaced essay on the value of business process improvement to an individual business. Describe clearly and concisely what is involved in such activity.
|
|
How does process costing differ under normal or actual cost
: Equivalent units are a key concept in process costing. Illustrate what is meant by the term Equivalent units and Explain how it is used in process costing. Also, Explain how does process costing differ under normal or actual costing?
|
|
Determining conditional distribution
: A company sells two products (Product 1 and Product 2) that tend to be substitutes for each other. That is, if a customer buys Product 1, she tends to not buy Product 2, and vice versa.
|
|
Explain the flow of information in company
: Explain the flow of information in your company. In your journal, explain the following:Functions of Y hierarchy of managerial communications. Does it apply to organization's communication hierarchy?
|
|
Illustrate what aspects or sectors need to be discussed
: Friendly to environment in business, especially in developed countries is often involved illustrate what aspects or sectors need to be discussed?
|
|
Explain purchase an organization primarily through borrowing
: An attempt by employees, management or a group of savers to purchase an organization primarily through borrowing is called?
|
|
Echo ranging formula
: Last week I used a stopwatch to measure the echo time of my snare drum in the hall outside my classroom, which is 80 meters long. The average echo time was 10 milliseconds.
|