10. A survey conducted over the last 25 years indicated that in 10 years the winter was mild, in 8 years it was cold and in the remaining 7 years it was very cold. A company sells 1000 woollen coats in a mild year, 1300 in a cold year and 2000 in a very cold year. You are required to find the yearly expected profit of the company if a woollen coat costs it is sold to stores for 1730 and 2480.

10. A survey conducted over the last 25 years indicated that in 10 years the winter was mild, in 8 years it was cold and in the remaining 7 years it was very cold. A company sells 1000 woollen coats in a mild year, 1300 in a cold year and 2000 in a very cold year. You are required to find the yearly expected profit of the company if a woollen coat costs it is sold to stores for 1730 and 2480.

College Algebra

7th Edition

ISBN:9781305115545

Author:James Stewart, Lothar Redlin, Saleem Watson

Publisher:James Stewart, Lothar Redlin, Saleem Watson

Chapter9: Counting And Probability

Section9.4: Expected Value

Problem 1E: If a game gives payoffs of $10 and $100 with probabilities 0.9 and 0.1, respectively, then the...

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