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

How to calculate midrange in statistics?, Midrange The midrange is the ...

Midrange The midrange is the measure of the center that is the value midway between the highest and the lowest values in the original data set. It is found by adding the highes

What is a Business-type activity, What is a Business-type activity Reporte...

What is a Business-type activity Reported in the government-wide financial statements. Financed in whole or in part by fees charged to external parties for goods or services that

Find the probability that a cup of drink chosen at random, Question: (i...

Question: (i) A soft drink machine is regulated so that it fills an average of 300 cL per cup. If the amount of drink in each cup is normally distributed with standard deviati

Distinction between management and financial accounting, Distinction betwee...

Distinction between Management and Financial Accounting The variations between control sales and financial sales include Control sales provides details to individuals within a

Evaluate the probabilities, Problem: a. According to a Business week po...

Problem: a. According to a Business week poll of 1035 adults, 40% of those surveyed agreed strongly with the proposition that business has too much power over American life (B

Management accounting, CRSL has a large auditorium which can cater for 300 ...

CRSL has a large auditorium which can cater for 300 people and is ideal for formal balls and functions. The auditorium can also be reconfigured to cater for 100 people. The Seasons

Financial accounting, when the closing inventory is understated, the profit...

when the closing inventory is understated, the profit for the period will

Linear modelling, what is a difference between a linear model and a linear ...

what is a difference between a linear model and a linear model

Determine the coefficient of determination, 1. A researcher was interested ...

1. A researcher was interested lowering the high school dropout level in his county. He measured the reading level of students entering middle school (based on a standard test) and

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