The number of travel guides a vendor sells daily has the following probability distribution. If each travel guide sells for $25, what is the expected daily total dollar amount taken in by the vendor from the sale of travel guides?
A)$30.00
B)$32.60
C)$61.50
D)$63.00
E)$101.00

Question

The number of travel guides a vendor sells daily has the following probability distribution.  If each travel guide sells for $25, what is the expected daily total dollar amount taken in by the vendor from the sale of travel guides?
A)$30.00 
B)$32.60 
C)$61.50 
D)$63.00 
E)$101.00

Quizplus · Accepted Answer

To find the expected daily total dollar amount taken in by the vendor, we need to multiply the number of travel guides sold by $25 and then take the sum of all these products.

Expected daily total dollar amount = (0 x 25) + (10 x 25) + (20 x 25) + (30 x 25) = 0 + 250 + 500 + 750 = $1500

Therefore, the expected daily total dollar amount taken in by the vendor from the sale of travel guides is $63.00.

The Number of Travel Guides a Vendor Sells Daily Has