BS
Black Shadow
Answers (2)
BS
Answered
Suppose the following random numbers (1, 34, 22, 78, 56, 98, 00, 82) were selected during a Monte Carlo simulation that was based on the chart below. What was the average demand per period for the simulation? What is the expected demand?
Demand Probability Cumulative Probability Interval of Random Numbers 0.11.152.43.154.2\begin{array} { | c | c | c | c | } \hline \text { Demand } & \text { Probability } & \begin{array} { c } \text { Cumulative } \\\text { Probability }\end{array} & \begin{array} { c } \text { Interval of Random } \\\text { Numbers }\end{array} \\\hline 0 & .1 & & \\\hline 1 & .15 & & \\\hline 2 & .4 & & \\\hline 3 & .15 & & \\\hline 4 & .2 & & \\\hline\end{array} Demand 01234 Probability .1.15.4.15.2 Cumulative Probability Interval of Random Numbers
Demand Probability Cumulative Probability Interval of Random Numbers 0.11.152.43.154.2\begin{array} { | c | c | c | c | } \hline \text { Demand } & \text { Probability } & \begin{array} { c } \text { Cumulative } \\\text { Probability }\end{array} & \begin{array} { c } \text { Interval of Random } \\\text { Numbers }\end{array} \\\hline 0 & .1 & & \\\hline 1 & .15 & & \\\hline 2 & .4 & & \\\hline 3 & .15 & & \\\hline 4 & .2 & & \\\hline\end{array} Demand 01234 Probability .1.15.4.15.2 Cumulative Probability Interval of Random Numbers
On Jul 01, 2024
Demand Probability Cumulative Probability Interval of Random Numbers 0.1.101−101.15.2511−252.4.6526−653.15.866−804.2181−00\begin{array} { | c | c | c | c | } \hline \text { Demand } & \text { Probability } & \begin{array} { c } \text { Cumulative } \\\text { Probability }\end{array} & \begin{array} { c } \text { Interval of Random } \\\text { Numbers }\end{array} \\\hline 0 & .1 & .1 & 01 - 10 \\\hline 1 & .15 & .25 & 11 - 25 \\\hline 2 & .4 & .65 & 26 - 65 \\\hline 3 & .15 & .8 & 66 - 80 \\\hline 4 & .2 & 1 & 81 - 00 \\\hline\end{array} Demand 01234 Probability .1.15.4.15.2 Cumulative Probability .1.25.65.81 Interval of Random Numbers 01−1011−2526−6566−8081−00 Tires sold sum is given by 0 + 2 + 1 + 3 + 2 + 4 + 4 + 4 = 20 over 8 periods. Thus the average demand was 20/8 = 2.5 tires.
The expected demand is simply the EV, or .1(0) + .15(1) + .4(2) + .15(3) + .2(4) = 2.2 tires per period.
The expected demand is simply the EV, or .1(0) + .15(1) + .4(2) + .15(3) + .2(4) = 2.2 tires per period.
BS
Answered
Neoclassical economics and behavioral economics both recognize that people make errors in their decision making.
On Jun 30, 2024
True