Question

The weekly demand for an item in a retail store follows a uniform distribution over the range 76 to 89. what would be the weekly demand if its corresponding computer-generated value is 0.5?

O 41.25
O 82.5
O 89
O 120.5

Answer 1

To calculate the weekly demand for an item with a uniform distribution from 76 to 89 using a computer-generated value of 0.5, we use the formula V = min + (max - min) × C, which gives us a weekly demand of 82.5.

"the correct option is approximately option B"

Step-by-step explanation:

To calculate the weekly demand for an item that follows a uniform distribution given a certain computer-generated value, we first need to understand what a uniform distribution is.

A uniform distribution is a probability distribution where all outcomes are equally likely. With a range from 76 to 89, the formula to find a specific value 'V' corresponding to a computer-generated value 'C' is V = minimum value + (maximum value - minimum value) × C. In this case, the computer-generated value is 0.5.

Now we apply the values to the formula: V = 76 + (89 - 76) × 0.5 = 76 + 13 × 0.5 = 76 + 6.5 = 82.5. Therefore, the weekly demand for the item when the computer-generated value is 0.5 is 82.5.