Problem 13-19 and Problem 13-25 complete solutions correct answers key

Problem 13-19 and Problem 13-25 complete solutions correct answers key

Every home football game for the past eight years at Eastern State University has been sold out. The revenues from ticket sales are significant, but the sale of food, beverages and souvenirs has contributed greatly to the overall profitability of the football program. One particular souvenir is the football program for each game. The number of programs sold at each game is described by the following probability distribution:

Historically, Eastern University has never sold fewer than 2,300 programs or more than 2,700 programs at one game. Each program costs $.80 to produce and sells for $2.00. Any programs that are not sold are donated to a recycling center and do not produce any revenue.

A. Simulate the sale of programs at 10 football games. Use the last column in the random number table 13.4 and begin at the top of the column.

B. If the University decided to print 2,500 programs for each game, what would the average profits be for the 10 games simulated in part a?

C. If the University decided to print 2,600 programs for each game, what would the average profits be for the 10 games simulated in part a?

23

0.15

24

0.22

25

0.24

26

0.21

27

0.18

Problem 13-25

Stephanie Robbins is the Three Hills Power Company management analyst assigned to simulate maintenance costs. In Section 13.6 we describe the simulation of 15 generator breakdowns and the repair times required when one repair person is on duty per shift. The total simulated maintenance cost of the current system is $4,320.

Robbins would now like examine the relative cost effectiveness of adding one more worker per shift. Each new repair person would be paid $30 per hour, the same rate as the first is paid. The cost per breakdown hour is still $75. Robbins makes one vital assumption as she begins- that repair times with two workers will exactly one half the times required with only one repair person on duty per shift.

A. Simulate this proposed maintenance system change over a 15 generator breakdown period.

B. Should Three Hills add a second repair person each shift?