Suppose that each ticket costs 5 and the total cost of

Reference no: EM13641827

Concert attandance depends on the weather. There are three possible types of weather on the day of the concert: terrible, with probability 20%, mediocre, with probability 60%, and great, with probability 20%. Concert attendance is expacted to be 500 people if the weather is terrible, 1000 people if the weather is mediocre, and 2000 people if the weather is great.

(a) Let X denote the attendance. Why is X a random variable?

(b) What is the expected attendance, E(X)?

(c) Suppose that each ticket costs $5 and the total cost of giving the concert is fixed and equal $2000. Then, if Y denotes profit from the concert, we have Y = 5X - 2000. What is the expected profit?

(d) Find the standard deviation of profit Y.

Reference no: EM13641827

Questions Cloud

Predict the wolf population in b using the regression line : data obtained from a random sample of recent years of caribou and wolf population.caribou x 30 34 27 25 17 23 20wolf y

The number of telephone calls that arrive at a phone : the number of telephone calls that arrive at a phone exchange is often modeled as a poisson random variable. assume

A company has 7 senior and 5 junior officers an ad hoc : a company has 7 senior and 5 junior officers. an ad hoc legislative committee is to be formed. in how many ways can a

To use the t-statistic to test for a difference between the : to use the t-statistic to test for a difference between the means of two populations what assumptions must be made

Suppose that each ticket costs 5 and the total cost of : concert attandance depends on the weather. there are three possible types of weather on the day of the concert terrible

A survey of 77 freshman business students at a large : a survey of 77 freshman business students at a large university produced the following results 25 of the students read

At a day care there are 5 apples 8 pears and 12 oranges : at a day care there are 5 apples 8 pears and 12 oranges available for snack time. marsha amp adrienne get to the front

Suppose that a fair coin is tossed repeatedly and let n be : suppose that a fair coin is tossed repeatedly and let n be the number of tosses until the rst heads is obtained.a find

Recalling that the variance is the measure of spread or : suppose that y is a discrete random variable with mean u and variance o2 and let xy1a. do you expect the mean of x to

User Account

All Pages