Question

Consider the following probability distribution of the daily profit of a bakery.

Answer 1

Answer:

b. 0.80

Step-by-step explanation:

The probability distribution means that we have these following probabilities:

0.05 probability of having a loss of $100.

0.15 probability of having neither a loss nor a profit.

0.30 probability of a profit of $200.

0.40 probability of a profit of $300.

0.10 probability of a profit of $400.

On a given day, the probability the bakery will have a profit of $200 or more is

Either 200, 300 or 400.

Looking at it's probabilities;

0.3 + 0.4 + 0.1 = 0.8

So the correct answer is:

b. 0.80