Calculate the average profit, Basic Statistics

Assignment Help:

A machine is used for machining of a manufactured product. At the beginning of each business day inspection reveals the machine's condition. There are three possible states: 0, 1 and 2. In state 0, the machine is unproductive and must be repaired. The repair costs $ 500 per day and can last more than a day. When the repair is completed, the machine is in perfect working condition (condition 2) and can operate at full capacity, which refers income of $ 400 per day. When the machine is in state 1, it can be used only at half speed, which yields $ 200 per day. In these conditions, assumes that the machine state changes according to a Markov chain with the probability following transition:

                                                0.2          0              0.8

                                                0.4          0.6          0

                                                0.1          0.2          0.7

(A) On average, how many consecutive days the machine is in state 0 ?

(B) On average, what percentage of days the machine is productive?

(C) Calculate the average profit per day.

 


Related Discussions:- Calculate the average profit

Student, Design an activity based cost system requires that: a) the job bid...

Design an activity based cost system requires that: a) the job bid process redesigned b) resource costs be linked to the activities performed c)the cost of activities be linked to

Anti smoking pills , Company hopes to improve customer satisfaction, setti...

Company hopes to improve customer satisfaction, setting a goal of no more than 5% negative comments. A random survey of 350 customers found only 14 with complaints. Does this provi

Business Research Report Proposal: Initial Research, The initial research p...

The initial research proposal will consist of the following SIX (6) items: 1. Identify a business research topic 2. Define the research questions for the identified problem or opp

Type of correlation, The correlation coefficient can take values from -1 to...

The correlation coefficient can take values from -1 to 1. If the correlation coefficient lies in the range (-1,0) then we say that the correlation is negative, on the other hand if

Managing Ashland Multicomm Services Problem, How many free premium channels...

How many free premium channels should research director recommend

Define payroll withholdings, Define Payroll Withholdings The U. S. earn...

Define Payroll Withholdings The U. S. earnings tax system-as well as most condition earnings tax systems-requires business employers to hold paycheck taxation from their staff'

Data for ogive graph, Data for ogive graph in sectors of indian economy

Data for ogive graph in sectors of indian economy

Probability assessments, According to a weather forecaster's subjective pro...

According to a weather forecaster's subjective probability assessments, the probability of record-breaking rain during this year in Jamshedpur is 0.01 . However, if Ranchi has a r

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd