Abbott & Costello Has the Following Estimated Sales

question 40

Multiple Choice

Abbott & Costello has the following estimated sales. Purchases are equal to 75 percent of the following quarter's sales.What is the estimated amount of purchases for quarter 2?

• A)$5,209
• B)$5,508
• C)$5,848
• D)$7,125
• E)$7,720

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Definitions:

Mean

The average of a set of values, calculated by summing all the values and dividing by the number of values.

Discrete Random Variable

A random variable that has countable outcomes, such as the number of heads in a series of coin flips.

Poisson Distribution

A probability distribution that expresses the probability of a given number of events occurring in a fixed interval of time or space when these events occur with a known constant rate and independently of the time since the last event.

Discrete Random Variable

A type of random variable that can take on a countable number of distinct values.