Question

Six percent (6%) of all shoppers make an impulse purchase at the check-out counter in a grocery store. If a store has 650 customers each day, what is the average number of impulse purchases made per day at the check-out counter? (a) 54 (b) 25 (c) 65 (d) 6 (e) 39

Answer 1

(e) 39

Explanation:

The expected value (or the average number) of impulse purchases per day is given by the probability of an impulse purchase being made (6%) multiplied by the daily number of customers (650):

`E(X) =P(X)* n\\E(X) = 0.06*650\\E(X) = 39`

The average number of impulse purchases is 39 per day.