Quantitative Chapter 1 and 2
Mysti Farris (See problem 1-19) is considering raising the selling price of each cue to $50 instead of $40. If this is done while the costs remain the same, what would the new breakeven point be? What would the total revenue be at this breakeven point? (Given in problem 1-19: fc of 2400 and vc of 25)
Mysi Farris (see problem 1-19) believes that there is a high probability that 120 pool cues can be sold if the selling price is appropriately set. What selling price would cause the breakeven point to be 120? (Given in problem 1-19: fc of 2400 and vc of 25)
A couple of entrepreneurial business students at state university decided to put their education …show more content…
If the oven gets hotter than 475 degrees F the core is defective. What is the probability that the oven will cause a core to be defective? What is the probability that the temperature of the oven will range from 460 degrees to 470 degrees F?
A new integrated computer system is to be installed worldwide for a major corporation. Bids on this project are being solicited and the contrast will be awarded to one of the bidders. As a part of the proposal for this project, bidders must specify how long the project will take; there will be a significant penalty for finishing late. One potential contractor determines that the average time to complete a project of this type is 40 weeks with a standard deviation of 5 weeks. The time required to complete this project is assumed to be normally distributed. a. if the due date of this project is set at 40 weeks, what is the probability that the contractor will have to pay a penalty? (i.e. the project will not be finished on schedule)? b. If the due date of this project is set at 43 weeks, what is the probability that the contractor will have to pay a penalty (ie the project will not be finished on schedule)? c. If the bidder wishes to set the due date in the proposal so that there is only a 5% chance of being late (and consequently only a 5% chance of having to pay a penalty), what due date should be