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

Parity to De-Skew, Consider the following proposal to deskew a skewed bitst...

Consider the following proposal to deskew a skewed bitstream from a TRNG. Consider the bitstream to be a sequence of groups ot n bits for some n > 2. Take the first n bits, and o

Estimate the value of x and y in liner equation, ( a+2b)x + (2a - b)y = 2...

( a+2b)x + (2a - b)y = 2, (a - 2b)x + (2a +b)y = 3 (Ans: 5b - 2a/10ab , a + 10b/10ab ) Ans: 2ax + 4ay = y , we get 4bx - 2by = -1 2ax+ 4ay = 5  4bx- 2by = - 1

Problem solving, compare 643,251;633,512; and 633,893. The answer is 633,51...

compare 643,251;633,512; and 633,893. The answer is 633,512

Find the number of ways to arrange words, Q. Find the number of ways three ...

Q. Find the number of ways three letter "words" can be chosen from the alphabet if none of the letters can be repeated? Solution:  There are 26 ways of choosing the first lett

Describe independent events in maths, Describe Independent Events in maths?...

Describe Independent Events in maths? Events are independent if the outcome of one event does not affect the outcome of the second event. If A represents one independent event

Excel, do you guys have excel math

do you guys have excel math

find the present age, 5 years however, a man's age will be 3times his son'...

5 years however, a man's age will be 3times his son's age and 5 years ago, he was 7 times as old as his son.    Find their present ages.

What is larry''s salary after the raise, Larry earned $32,000 per year. The...

Larry earned $32,000 per year. Then he received a (3)1/4% rise. What is Larry's salary after the raise? If Larry earns a (3) 1/4 % (or 3.25%) raise, he will earn 103.25% of his

Pert, define algorithm of pert and pert with suitable examples

define algorithm of pert and pert with suitable examples

Distinct eigenvalues, It's now time to do solving systems of differential e...

It's now time to do solving systems of differential equations. We've noticed that solutions to the system, x?' = A x? It will be the form of, x? = ?h e l t Here l 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