Calculate the average return, Mathematics

Assignment Help:

A department store faces a decision for a seasonal product for which demand can be high, medium or low. The purchaser can order 1, 2 or 3 lots of this product before the season begins but cannot reorder later. Profit projections (in thousands of euro) are shown below 

1840_Calculate the average return.png

1. If the probabilities are 0.3 for high, 0.3 for medium and 0.4 for low, what is the recommended order quantity? Calculate the expected return based on these values.

2. Simulate twenty seasons and identify the recommended order quantity from this simulation.

3. Calculate the average return based on the simulated demand and compare your result with the expected return.


Related Discussions:- Calculate the average return

Electronic whiteboards, Topic : Use of Electronic whiteboards (ICT) in prim...

Topic : Use of Electronic whiteboards (ICT) in primary education in Australia and international. What are the key theories, concepts and ideas related to your topic? Wha

Example of integrals involving trig functions, Example of Integrals Involvi...

Example of Integrals Involving Trig Functions Example: Estimate the following integral. ∫ sin 5 x dx Solution This integral no longer contains the cosine in it that

Basic Stat, You have been research for your statistics class on how nervous...

You have been research for your statistics class on how nervous the American adults are in general, you have decided to use HINTS 2007 data set that has a scale (going from 0 to 24

Introduction to ones tens and more, INTRODUCTION :  We are often confronte...

INTRODUCTION :  We are often confronted with children not being able to deal with H T 0, i.e. 'hundreds', 'tens' and 'ones' (or 'units'), with comfort, though they are supposed to

Multiplication of complex numbers, Multiplication of complex numbers: ...

Multiplication of complex numbers: Example 1: Combine the subsequent complex numbers: (4 + 3i) + (8 - 2i) - (7 + 3i) =  Solution: (4 + 3i) + (8 - 2i) - (7 + 3i

Solve out the linear equations, Solve out each of the following equations. ...

Solve out each of the following equations.                3( x + 5)= 2 ( -6 - x ) - 2x Solution In the given problems we will explained in detail the first problem and t

Logarithms, We know that 2 4 = 16 and also that 2 is referred to as ...

We know that 2 4 = 16 and also that 2 is referred to as the base, 4 as the index or power or the exponent. The same if expressed in terms of logarithms would be log 2

What is the limit of sin (1/x) when x tends to zero?, As x tends to zero th...

As x tends to zero the value of 1/x tends to either ∞ or -∞. In this situation we will not be sure about the exact value of 1/x. As a result we will not be sure about the exact/app

Proof of root test - sequences and series, Proof of Root Test  Firstly...

Proof of Root Test  Firstly note that we can suppose without loss of generality that the series will initiate at n = 1 as we've done for all our series test proofs.  As well n

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