What is the expected value of unit sales for the new product

Reference no: EM132788936

Myers Business Systems is evaluating the introduction of a new product. The possible levels of unit sales and the probabilities of their occurrence are given next:

Possible
Market Reaction              Sales
                                    in Units
                                                            Probabilities
Low response 20 .10
Moderate response        40 .30
High response              55                    .40
Very high response    70                      .20

Question a. What is the expected value of unit sales for the new product?

Question b. What is the standard deviation of unit sales?

Reference no: EM132788936

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