Q: The forecast monthly revenues for a firm are modeled using a random variable that is distributed according to a normal distribution with mean $850,000 and standard deviation $165,000. What is the probability that the revenues will be less than $700,000? Choose the closest numerical answer. or Q: A random variable distributed according to a normal distribution with a mean…
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The forecast monthly revenues for a firm are modeled using a random variable that is distributed according to a normal distribution with mean $850,000 and standard deviation $165,000. What is the probability that revenues will exceed 1 million dollars? Choose the closest answer.
Q: The forecast monthly revenues for a firm are modeled using a random variable that is distributed according to a normal distribution with mean $850,000 and standard deviation $165,000. What is the probability that revenues will exceed 1 million dollars? Choose the closest answer. or Q: A random variable distributed according to a normal distribution with a mean of $850,000…
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A financial advisor at a financial consulting firm spends time with his investing clients throughout the year. Based on the historical data, he finds that the consulting time T spent with a client can be modeled as a continuous, uniformly distributed random variable, with the minimum value of 50 minutes and the maximum value of 183 minutes. What is the pdf value of this distribution at T=67 minutes?
Q: A financial advisor at a financial consulting firm spends time with his investing clients throughout the year. Based on the historical data, he finds that the consulting time T spent with a client can be modeled as a continuous, uniformly distributed random variable, with the minimum value of 50 minutes and the maximum value of 183 minutes. What is…
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Suppose you are working on a project based on some complex data from your firm. You have broken down the 1344 data points that you have into 35 buckets or bins. You are now testing the goodness of fit, using a chi-square test for a distribution that is characterized by 3 parameters. What is the number of degrees of freedom associated with your chi-square test?
Q: Suppose you are working on a project based on some complex data from your firm. You have broken down the 1344 data points that you have into 35 buckets or bins. You are now testing the goodness of fit, using a chi-square test for a distribution that is characterized by 3 parameters. What is the number of degrees of…
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Consider the following two ways to allocate the advertising budget: (S1) ASI = 60, ASC = 22, AEI = 3, AEC = 110 (S2) ASI = 55, ASC = 10, AEI = 15, AEC = 115 Which of the following statements is correct:
Q: Consider the following two ways to allocate the advertising budget: (S1) ASI = 60, ASC = 22, AEI = 3, AEC = 110 (S2) ASI = 55, ASC = 10, AEI = 15, AEC = 115 Which of the following statements is correct: or Q: Take into account the two options listed below for allocating the advertising budget: (S1)…
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Ignore the setting of Q3 and consider the original problem formulation. One of the senior managers at Hudson Readers believes that the constraint on the net sales increase for the enhanced version severely limits company’s ability to generate the total net sales increase. Suppose that this constraint is ignored, while all other constraints in the original problem formulation remain unchanged. Which of the following statements describes the optimal advertising spending plan in the absence of this constraint?
Q: Ignore the setting of Q3 and consider the original problem formulation. One of the senior managers at Hudson Readers believes that the constraint on the net sales increase for the enhanced version severely limits company’s ability to generate the total net sales increase. Suppose that this constraint is ignored, while all other constraints in the original problem formulation remain…
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A sales division in a large IT consulting company prepares proposals and bids on engagements with companies who are considering purchasing new information systems. There is some randomness at work in this process, with varying numbers of competitors in each case and other factors affecting the customers’ decisions. Generally they win 20% of the contracts that they bid on. If you were to build a model of the division’s activity and wanted to include a random variable for winning contracts, what type of distribution would you use?
Q: A sales division in a large IT consulting company prepares proposals and bids on engagements with companies who are considering purchasing new information systems. There is some randomness at work in this process, with varying numbers of competitors in each case and other factors affecting the customers’ decisions. Generally they win 20% of the contracts that they bid on.…
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Monte Carlo simulations are useful to include in models when:
Q: Monte Carlo simulations are useful to include in models when: or Q: It is beneficial to incorporate Monte Carlo simulations into models when: Stakes are high There are many variables with complex interactions A small amount of extra precision is valuable Manual what-if testing isn’t feasible Explanation: The other options can also be relevant, but the key strength of…
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A snow tire manufacturer believes that a typical set of snow tires lasts on average for 30,000 miles. They also believe that 95% of drivers get between 20,000 and 40,000 miles of use from the tires. What value of σ, the standard deviation, would be needed to make the information above approximately consistent with a Normal distribution model for tire wear? You should use the Empirical Rule to answer this question.
Q: A snow tire manufacturer believes that a typical set of snow tires lasts on average for 30,000 miles. They also believe that 95% of drivers get between 20,000 and 40,000 miles of use from the tires. What value of σ, the standard deviation, would be needed to make the information above approximately consistent with a Normal distribution model for…
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In the simulation model shown below, what is the primary purpose of the standard deviation formula in cell H11?
Q: In the simulation model shown below, what is the primary purpose of the standard deviation formula in cell H11? or Q: What is the main function of the standard deviation formula in cell H11 of the simulation model below? To help assess risk To add a constraint needed for an optimization function None of these are the primary purpose…
