Final answer:
The AVG CPS for video customers is the average number of DVDs rented per customer. It is calculated by using a probability distribution table to find the weighted average, multiplying each possibility (number of DVDs rented) by its probability, then summing these amounts.
Step-by-step explanation:
The student is asking for the average number of DVDs (CPS, or copies per sale) rented by customers at a video rental store. To calculate this average, we would need to know the probability distribution of the number of DVDs rented per customer. Assuming that the provided table includes the number of DVDs rented (from 1 to 5 DVDs) and the corresponding probabilities for each number, we would calculate the average by multiplying each number of DVDs by its probability and then summing those products.
Steps for Calculating the AVG CPS:
- Multiply each number of DVDs by its respective probability.
- Add up all the products from step 1 to get the total.
- The sum from step 2 represents the average DVDs rented per customer (AVG CPS).
For instance, if renting 1 DVD had a probability of 0.1, 2 DVDs a probability of 0.2, and so forth, the calculation would look like this: (1*0.1) + (2*0.2) + ... + (5*probability of renting 5 DVDs). The help from a theoretical probability distribution is crucial to accurately calculate the average number of video rentals.