Homework Help is Here – Start Your Trial Now!
Math
Probability
You are a fast-food mogul and own 50 franchises of Longhorn Burgers and 40 franchises of Perfect Pitas. Suppose that the monthly revenue (in thousands of dollars) for every franchise is an i.i.d. random variable, with Longhorn Burgers revenues drawn from a distribution with (population) mean 20 and (population) standard deviation 4 and Perfect Pitas revenues drawn from a distribution with (population) mean 15 and (population) standard deviation 3. (Note that we have not assumed normality.) (a) In a given month, what is the approximate distribution of the sample average of the 40 franchises of Perfect Pitas? (b) In a given month, what is the approximate distribution of the sample average of monthly revenues at all 90 franchises? (Hint: Think separately about the sample average for the 50 Longhorn Burgers franchises and the sample average for the 40 Perfect Pitas franchises. Then, think about the overall sample average (for 90 franchises) as a linear combination of those two sample averages.)

You are a fast-food mogul and own 50 franchises of Longhorn Burgers and 40 franchises of Perfect Pitas. Suppose that the monthly revenue (in thousands of dollars) for every franchise is an i.i.d. random variable, with Longhorn Burgers revenues drawn from a distribution with (population) mean 20 and (population) standard deviation 4 and Perfect Pitas revenues drawn from a distribution with (population) mean 15 and (population) standard deviation 3. (Note that we have not assumed normality.) (a) In a given month, what is the approximate distribution of the sample average of the 40 franchises of Perfect Pitas? (b) In a given month, what is the approximate distribution of the sample average of monthly revenues at all 90 franchises? (Hint: Think separately about the sample average for the 50 Longhorn Burgers franchises and the sample average for the 40 Perfect Pitas franchises. Then, think about the overall sample average (for 90 franchises) as a linear combination of those two sample averages.)

Calculus For The Life Sciences
Calculus For The Life Sciences
2nd Edition
ISBN:9780321964038
Author:GREENWELL, Raymond N., RITCHEY, Nathan P., Lial, Margaret L.
Publisher:GREENWELL, Raymond N., RITCHEY, Nathan P., Lial, Margaret L.
Chapter13: Probability And Calculus
Section13.2: Expected Value And Variance Of Continuous Random Variables
Problem 10E
See similar textbooks
icon
Related questions
Question
You are a fast-food mogul and own 50 franchises of Longhorn Burgers and 40 franchises of Perfect Pitas. Suppose that the monthly revenue (in thousands of dollars) for every franchise is an i.i.d. random variable, with Longhorn Burgers revenues drawn from a distribution with (population) mean 20 and (population) standard deviation 4 and Perfect Pitas revenues drawn from a distribution with (population) mean 15 and (population) standard deviation 3. (Note that we have not assumed normality.) (a) In a given month, what is the approximate distribution of the sample average of the 40 franchises of Perfect Pitas? (b) In a given month, what is the approximate distribution of the sample average of monthly revenues at all 90 franchises? (Hint: Think separately about the sample average for the 50 Longhorn Burgers franchises and the sample average for the 40 Perfect Pitas franchises. Then, think about the overall sample average (for 90 franchises) as a linear combination of those two sample averages.)
Transcribed Image Text:You are a fast-food mogul and own 50 franchises of Longhorn Burgers and 40 franchises of Perfect Pitas. Suppose that the monthly revenue (in thousands of dollars) for every franchise is an i.i.d. random variable, with Longhorn Burgers revenues drawn from a distribution with (population) mean 20 and (population) standard deviation 4 and Perfect Pitas revenues drawn from a distribution with (population) mean 15 and (population) standard deviation 3. (Note that we have not assumed normality.) (a) In a given month, what is the approximate distribution of the sample average of the 40 franchises of Perfect Pitas? (b) In a given month, what is the approximate distribution of the sample average of monthly revenues at all 90 franchises? (Hint: Think separately about the sample average for the 50 Longhorn Burgers franchises and the sample average for the 40 Perfect Pitas franchises. Then, think about the overall sample average (for 90 franchises) as a linear combination of those two sample averages.)
Expert Solution
trending now

Trending now

This is a popular solution!

steps

Step by step

Solved in 3 steps with 4 images

SEE SOLUTIONCheck out a sample Q&A here
Blurred answer
Recommended textbooks for you
Calculus For The Life Sciences
Calculus For The Life Sciences
Calculus
ISBN:
9780321964038
Author:
GREENWELL, Raymond N., RITCHEY, Nathan P., Lial, Margaret L.
Publisher:
Pearson Addison Wesley,
SEE MORE TEXTBOOKS