A firm plans to bid Rs. 300 per tonne for a contract to supply 1000 tonnesof metal. It has two competitors, A and B. and it assumes the probability that Awill bid less than Rs. 300 per tonne js 03. and that B will bid less than Rs. 300per tonne is 0.7. If the lowest biddes gets all the business and the firms bidindependently, what is the expected value of the contract to the firm ?

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A firm plans to bid Rs. 300 per tonne for a contract to supply 1000 tonnes of metal. It has two competitors, A andB. and it assumes the probability that A. will bid less than Rs. 300 per tonne is 03. and that B will bid less than Rs. 300 per tonne is 0.7. If the lowest biddes gets all the business and the firms bid indenendently, what is the expected value of the contract to the firm ?

A firm plans to bid Rs. 300 per tonne for a contract to supply 1000 tonnes of metal. It has two competitors, A andB. and it assumes the probability that A. will bid less than Rs. 300 per tonne is 03. and that B will bid less than Rs. 300 per tonne is 0.7. If the lowest biddes gets all the business and the firms bid indenendently, what is the expected value of the contract to the firm ?

College Algebra

7th Edition

ISBN:9781305115545

Author:James Stewart, Lothar Redlin, Saleem Watson

Publisher:James Stewart, Lothar Redlin, Saleem Watson

Chapter9: Counting And Probability

Section9.3: Binomial Probability

Problem 2E: If a binomial experiment has probability p success, then the probability of failure is...

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