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

Calculate the probability, The Stalk Market, an independent grocery chain, ...

The Stalk Market, an independent grocery chain, has been serving and supporting local communities for over 90 years. Its stores offer friendly service and a wide assortment of natu

Mariginal costing, marginal costing and its break-event analysis

marginal costing and its break-event analysis

Role of accountant, What are the roles of accountant, let me know the caree...

What are the roles of accountant, let me know the career opportunity in accounting subject?

Statistics study, Find a statistics study (from a newspaper article, journa...

Find a statistics study (from a newspaper article, journal, research study, or online article) and describe the five-step process of the study. (Hint: it may help to identify the f

Books of original entry, Books of original entry Books of original entranc...

Books of original entry Books of original entrance are a record in which the various or many other transactions are initially and formally recorded and serve up as the straight so

Discrete Standard Deviation, Discrete Standard Deviation For calculating s...

Discrete Standard Deviation For calculating standard deviation in discrete series any of the following methods may be applied (1) Actual mean method. (2) Assumed mean method. (

Accounting standards in canada, Accounting Standards in  Canada:  : In...

Accounting Standards in  Canada:  : In 2005, the Accounting Standards Board in Canada promoted the use of IFRS over the use of GAAP. The companies of Canada are supposed to ad

Cost accounting, 1. ABC produces a single product. Material A is added at t...

1. ABC produces a single product. Material A is added at the start of production and Material B at the end. Conversion is uniform throughout. Inspection before Material B is added.

Compute the proportion, In 2009, the average number of runs scored in the N...

In 2009, the average number of runs scored in the National League was approximately 4.5 per team. Therefore, a team has done an adequate job with its offense if it scores at least

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