Answer:
Step-by-step explanation:
Given that a firm has a price of $5, an average total cost of $7, and an average variable cost of $4
Price = 5
Var cost = 4
Contribution = 1 dollar per unit
Since contribution is positive, there is scope for getting profit by increasing production.
In the short run, you should __operate______(operate/shut down) because __Price______exceeds ________ average variable cost price . In the long run, you should __exit______(stay in/exit) the market because ________ average total cost price exceeds____price.______average variable cost price average total cost
Answer:
(a) The expected number of should a salesperson expect until she finds a customer that makes a purchase is 0.9231.
(b) The probability that a salesperson helps 3 customers until she finds the first person to make a purchase is 0.058.
Step-by-step explanation:
Let<em> </em>the random variable <em>X</em> be defined as the number of customers the salesperson assists before a customer makes a purchase.
The probability that a customer makes a purchase is, <em>p</em> = 0.52.
The random variable <em>X</em> follows a Geometric distribution since it describes the distribution of the number of trials before the first success.
The probability mass function of <em>X</em> is:

The expected value of a Geometric distribution is:

(a)
Compute the expected number of should a salesperson expect until she finds a customer that makes a purchase as follows:


This, the expected number of should a salesperson expect until she finds a customer that makes a purchase is 0.9231.
(b)
Compute the probability that a salesperson helps 3 customers until she finds the first person to make a purchase as follows:

Thus, the probability that a salesperson helps 3 customers until she finds the first person to make a purchase is 0.058.
It would be B: a set of points that extends infinitely in two directions