Answer:
Expected profit per dozen eggs = 4 ¢
Expected profit on the total egg production = 60,000 ¢
Step-by-step explanation:
Complete table as obtained online
Net Profit | 8 | 6 | 4 | 2 | 0 | -2
Probability |0.1|0.4|0.2|0.1|0.1|0.1
a) Expected profit per dozen eggs
Expected value is given as
E(X) = Σ xᵢpᵢ
xᵢ = each variable
pᵢ = probability of each variable
E(X) = (8×0.1) + (6×0.4) + (4×0.2) + (2×0.1) + (0×0.1) + (-2×0.1) = 4 ¢ per dozen
b) Expected profit on the total egg production
Last year, she had 12,000 dozen eggs
This year, she estimates 3,000 dozen more eggs
Estimated Total egg production this year = 12000 + 3000 = 15,000 dozen eggs
Expected profit per dozen eggs = 4 ¢
Expected profit on 15,000 dozen eggs = 15000 × 4 = 60,000 ¢
Hope this Helps!!!!
