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nata0808 [166]
3 years ago
14

The time required for an automotive center to complete an oil change service on an automobile approximately follows a normal​ di

stribution, with a mean of 1717 minutes and a standard deviation of 2.52.5 minutes. ​(a) the automotive center guarantees customers that the service will take no longer than 2020 minutes. if it does take​ longer, the customer will receive the service for​ half-price. what percent of customers receive the service for​ half-price? ​(b) if the automotive center does not want to give the discount to more than 77​% of its​ customers, how long should it make the guaranteed time​ limit?
Business
1 answer:
sveticcg [70]3 years ago
3 0
Let X be the time or period needed for an automobile center to finish an oil change.

X ∼ N (17, 2.5) 

a) 

P(X ≥ 20) = P((X - 17)/5 ≥ (20- 17)/2.5) = P(Z ≥ 1.2) = .1151 *100 = 11.51% is the answer

b) 
P(X ≥ x) = 0.07 

P (X - 17)/2.5 ≥ (x - 17)/2.5) = 0.07

P (Z ≥ z) = 0.07
look at the z table, 0.07 lies between 1.47 and 1.48, add and then divide you'll get:z = 1.475

1.475 = (x - 17)/2.5 

x = 20.6875 ≈ 21 minutes
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Gasoline and bicycles are complements in consumption. Suppose we increase the federal gasoline tax to $1 per gallon. What are th
dalvyx [7]

Answer: A

Explanation:

A complementary good is a product that is used together with another product. Without its complement, such a good will have little value. When there is increase in the price of a particular product, the demand of its complement reduces because consumers may not be able to use the complement on its own.

Complements have negative cross elasticity of demand i.e there is increase in the demand for a product when the price of its complement reduces. If bicycles and gasoline are complements, an increase in tax on gasoline will have a negative effect on the demand for bicycle. Due to the price increase of gasoline, less people will demand for bicycle. The initial change that will occur as a result of this is that as there is a price increase for gasoline, there will be a leftward shift in the demand for bicycle. This implies that less bicycle will be demanded for.

7 0
4 years ago
Allied made its first and only purchase of inventory for the period on
iragen [17]

Answer:

Perpetual Inventory System

Gross Method

Date                 Particulars                        Debit              Credit

3 May             Merchandise Inventory   10,000

                               Cash                                               10,000

May 3 for 1,000 units at a price of $10 cash per unit (for a total cost of $10,000).

5 May               Accounts Receivable Macy  7000

                                             Sales                                    7000

May 5 :Allied sold 500 of the units in inventory for $14 per unit (invoice total: $7,000) to Macy Co. under credit terms 2/10, n/60. The goods cost Allied $5,000.

5 May             Cost of Goods Sold               5000

                           Merchandise Inventory                        5000    

 

May 7:               Sales   Returns              700

                            Accounts Receivable Macy  700

May 7: Macy returns 50 units because they did not fit the customer’s needs (invoice amount: $700). Allied restores the units, which cost $500, to its inventory.

May 7               Merchandise Inventory       500    

                                         Cost of Goods Sold               500

May 8           Sales  Returns & Allowance             300

                              Accounts Receivable Macy           300

8 Macy discovers that 50 units are scuffed but are still of use and, therefore, keeps the units. Allied sends Macy a credit memorandum for $300 toward the original invoice amount to compensate for the

damage.

May 15:              Cash                    6000

                          Sales Discounts     120

                             Accounts Receivable Macy           5880    

Payment : $ 7000- $ 700 - $ 300= $ 6000

Discount : 2% of 6000= $ 120

May 15 Allied receives payment from Macy for the amount owed on the May 5 purchase; payment is net of returns, allowances, and any cash discount.

                     

           

6 0
3 years ago
Percy Company purchased 80% of the outstanding voting shares of Song Company at the beginning of 2014 for $406,000. At the time
Gnom [1K]

Answer:

since Percy Company's owns 80% of Song Company's stocks, we must use the equity method to record its investment in Song Company

Beginning 2014, investment in Song Company

Dr Investment in Song Company 406,000

    Cr Cash 406,000

2014, to record Song's net income

Dr Investment in Song Company 48,480

    Cr Investment revenue 48,480

2015, to record Song's net income

Dr Investment in Song Company 43,120

    Cr Investment revenue 43,120

2016, to record Song's net loss

Dr Loss on investment 45,760

    Cr Investment in Song Company 45,760

2014, to record Song's dividends

Dr Cash 19,040

    Cr Investment in Song Company 19,040

2015, to record Song's dividends

Dr Cash 40,480

    Cr Investment in Song Company 40,480

2016, to record Song's dividends

Dr Cash 29,040

    Cr Investment in Song Company 29,040

   

5 0
3 years ago
Ased on the quantity theory of​ money, if velocity is​ constant, inflation is likely to occur​ when:
Slav-nsk [51]

Answer:

Option (B) is correct.

Explanation:

The quantity theory of money can be expressed in the form of an equation that is

M × V= P × GDP

where,

M = Money supply

V = Velocity of money

P = Price level

GDP = Gross domestic product

P × GDP is the nominal GDP, it is the amount of required for purchasing the total amount of output. All the transactions are depends upon the income level of the consumers at the full-employment level. So, if there is an increase in the money supply, this will results in higher prices which means that an increase in the money supply over the real gross domestic product would cause the inflation.

Increase in the money supply will increase the nominal GDP but real GDP remains the same. But if the growth rate of money supply is equal to the growth rate of real GDP then there will be no inflation and Real GDP remains constant at the full-employment level, hence, its level of volume doesn't increase if the there is an increase in the money supply.

Therefore, increased growth rate of money supply over the real GDP causes inflation.

4 0
4 years ago
Car owners can incur a number of costs. Suppose that your parents are willing to pay for the fixed costs of your car, but you mu
xz_007 [3.2K]

Answer:

1. Monthly car payment ( fixed cost)

2. gasoline (variable cost)

3. oil changes (Variable cost)

4. insurance (fixed cost)

5. License plate (Fixed cost)

6. car registration (fixed cost)

7. New tires (variable cost)

8. toll road charges (variable cost)

9. car wash cost (variable cost)

Explanation:

First, you have to know that there are two main kinds of costs that a company or and individual can incur, and they are; fixed cost or variable cost.

Fixed cost:

A fixed cost remains the same, no matter the volume of output. In a company production cost, a fixed cost does not change no matter how many goods or services the company produces. Examples are rent, salaries, insurances, utilities etc. Even though a company does not make any production within a certain month, it will still have to pay the rent for its apartment and equipment, and the workers must be paid too. so the cost remains the same whether output increases or decreases. In our example, the fixed cost on the car is one that does not change no matter how much time the car is used within that month or period, and they include; monthly car payment, which must have a certain fixed amount during the first payment, insurance is fixed, license plates which is a one-time payment is fixed, car registration (annual) is also fixed, how the car was used or not used that year does not affect the annual registration.

variable cost:

A variable cost is one that changes as the volume of production or output change. Example if a company usually incurs a cost of $2 on leather for producing a pair of shoes and it usually produces 1000 pairs in a month, it means its monthly cost  for leather is $2000 dollars. If it produces 4000 pairs this month, the cost of production increases to $8000 for the month so it varies with production volume. In our example, the variable cost on the car are costs that change periodically with how the car is used; gasoline, oil changes, toll road charges (which depends overall on how many times the car is used on the road) and car wash cost are all variable costs.

4 0
4 years ago
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