Henry, a Persistent Salesman, Calls North's Hardware Store Once a Week

question 27

Essay

Henry, a persistent salesman, calls North's Hardware Store once a week hoping to speak with the store's buying agent, Shirley. If Shirley does not accept Henry's call this week, the probability she will do the same next week is .35. On the other hand, if she accepts Henry's call this week, the probability she will not do so next week is .20.
a.Construct the transition matrix for this problem.
b.How many times per year can Henry expect to talk to Shirley?
c.What is the probability Shirley will accept Henry's next two calls if she does not accept his call this week?
d.What is the probability of Shirley accepting exactly one of Henry's next two calls if she accepts his call this week?

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Definitions:

Population Parameters

Numerical characteristics that summarize or describe aspects of a population, such as mean, variance, or standard deviation.

Test Statistic

A measure calculated from a sample data to perform a hypothesis test.

P-Value

The likelihood of getting findings from tests that are at least as extreme as what was observed, assuming the correctness of the null hypothesis.

Null Hypothesis

A statistical hypothesis that assumes no significant difference or effect, serving as the default assumption that is tested against an alternative hypothesis.