Jack estimates that his monthly requirements are best

Assignment Help Operation Management

Reference no: EM13390045

Jack Jones is looking at buying a new cell phone plan and found one called "You Decide Your Minutes" Under this plan he would choose a quantity of minutes, say x, per month that she would buy at 5 cents per minute. Hence, his upfront cost would be $0.05x. If his usage is less than this quantity x in a given month, he loses the minutes. If his usage in a month exceeds this quantity x, he would have to pay 40 cents for each extra minute (that is, each minute used beyond x). For example, if he contracts for x=120 minutes per month and his actual usage is 40 minutes, his total bill is $120 x 0.05 = $6.00. However, if actual usage is 130 minutes his total bill would be $120 x 0.05 + (130 -120) x 0.40 = $10.00. Jack estimates that his monthly needs are best approximated by the Normal distribution with a mean of 250 minutes and a standard deviation of 24 minutes. How many minutes should he contract for?

Reference no: EM13390045

Questions Cloud

Write down a 700- to 1050-word paper in which you describe : write a 700- to 1050-word paper in which you explain operation managements role in business today. include the

Julia owns a building worth 800000 she insures the building : what is the meaning of the term reinsurance?explain the reasons for reinsurance.explain the term securitization of

How will you deliver your product marketing channels and : how will you deliver your product? marketing channels and decisions relating to how you deliver your product are just

Describe why it is significant for groups and teams to have : a group may be defined as two or more people who interact with each other to accomplish certain goals or meet certain

Jack estimates that his monthly requirements are best : jack jones is looking at buying a new cell phone plan and found one called you decide your minutes under this plan he

Explain how the leader differs from manager and when it : leadership is the process by which a person exerts influence over other people and inspires motivates and directs their

The corruption perceptions index cpi is a comparative : the corruption perceptions index cpi is a comparative assessment of integrity performance for a variety of

Describe role that organizational learning and creativity : the quality of organizational decision making ultimately depends on innovative responses to opportunities and threats.

Make an income statement and a retained earnings statement : on june 1 beardsley service co. was started with an initial investment in the company of 22100 cash. here are the

User Account

All Pages