TABLE 5-7 Two Different Designs on a New Line of Winter Jackets

question 107

Short Answer

TABLE 5-7
Two different designs on a new line of winter jackets for the coming winter are available for your manufacturing plants. Your profit (in thousands of dollars) will depend on the taste of the consumers when winter arrives. The probability of the three possible different tastes of the consumers and the corresponding profits are presented in the following table.

-Referring to Table 5-7, what is the variance of your profit when Design A is chosen?

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Definitions:

Superego

The Freudian structure of personality that serves as the harsh internal judge of the individual’s behavior; what is often referred to as conscience.

Cookie Monster

A character from Sesame Street known for his voracious appetite for cookies and distinctive blue fur.

Freud

Sigmund Freud was an Austrian neurologist and the founder of psychoanalysis, a clinical method for treating psychopathology.

Pleasure

A feeling of happiness, satisfaction, or enjoyment derived from an experience.