A banking executive studying the role of trust in creating customer advocates has determined that

44 %44%

of banking customers have complete​ trust,

45 %45%

of banking customers have moderate​ trust, and

11 %11%

have minimal or no trust in their primary financial institution. Of the banking customers that have complete​ trust,

68 %68%

are very likely to recommend their primary financial​ institution; of the banking customers that have moderate​ trust,

22 %22%

are very likely to recommend their primary financial​ institution; and of the banking customers that have minimal or no​ trust,

4 %4%

are very likely to recommend their primary financial institution. Complete parts​ (a) and​ (b) below.

a. Compute the probability that if a customer indicates he or she is very likely to recommend his or her primary financial​ institution, the banking customer also has complete trust.

Steele Electronics Inc. sells expensive brands of stereo equipment in several shopping malls. The marketing research department of Steele reports that 35% of the customers entering the store that indicate they are browsing will, in the end, make a purchase. Let the last 20 customers who enter the store be a sample.

a. How many of these customers would you expect to make a purchase? (Round the final answer to the nearest whole number.)

Number of Customers            

b. What is the probability that exactly six of these customers make a purchase? (Round the final answer to 4 decimal places.)

Probability            

c. What is the probability 11 or more make a purchase? (Round the final answer to 4 decimal places.)

Probability            

d. Does it seem likely at least one will make a purchase ("likely" refers if the probability is more than 70%)?

(Click to select)  Yes  No

Leila runs a lawn mowing/maintenance service for busy homeowners. She has six potential customers and each is has a different maximum price they are willing to pay per week. The customers and the maximum price each is willing to pay each week is as follows:

Customer      Price
Lorraine      $40
Gilda            15
Jane            30
John            25
Bill            20
Dan            35

Leila's costs depend on the number of customers she has. Her costs (she has no sunk costs) appear in the following table:

# of customers per week            Total Cost
      1                  $22
      2                  $44
      3                  $66
      4                  $88
      5                  $110
      6                  $132

In Situation 7.3, Leila's optimal number of customers is

Select one:

a. 1

b. 4

c. 3

d. 5

The following events occur for The Underwood Corporation during 2018 and 2019, its first two years of operations.
  

June 12, 2018 Provide services to customers on account for $36,200.

September 17, 2018 Receive $21,000 from customers on account.

December 31, 2018 Estimate that 45% of accounts receivable at the end of the year will not be received.

March 4, 2019 Provide services to customers on account for $51,200.

May 20, 2019 Receive $10,000 from customers for services provided in 2018.

July 2, 2019 Write off the remaining amounts owed from services provided in 2018.

October 19, 2019 Receive $41,000 from customers for services provided in 2019.

December 31, 2019 Estimate that 45% of accounts receivable at the end of the year will not be received.

Suppose a natural gas distribution company has capital investments of $8 million and a capital cost r of 10%. The firm’s operating, billing, and maintenance costs are $200,000. The firm buys natural gas at the city gate price of $5/MCF to sell to its customers. The firm distributes gas to those customers through its existing pipeline network at close to zero marginal cost.

The firm faces the following (inverse) demand by customer type (recall that these are average demand per customer, so at any given price you have to multiply quantity by the number of customers to get total quantity demanded in that customer group):

Residential (10,000 customers): P = 50 − 5*q

Commercial (1,000 customers): P = 50 − q

Industrial (100 customers): P = 20 − 1/100 * q

Calculate the two-part tariff if the firm charges each customer the same two-part tariff and charges P = MC as the variable charge. What is the deadweight loss in this case?

3) If outside customers demand 170,000 units per year, what is the number of “lost units”?

4) If outside customers demand 170,000 units per year, what is the lowest acceptable transfer price from the viewpoint of the selling division (the floor)?

Neve Commercial Bank is the only bank in the town of​ York, Pennsylvania. On a typical​ Friday, an average of 8 customers per hour arrive at the bank to transact business. There is one teller at the​ bank, and the average time required to transact business is 3 minutes. It is assumed that service times may be described by the negative exponential distribution. A single line would be​ used, and the customer at the front of the line would go to the first available bank teller. If a single teller is​ used:

f) CEO Benjamin Neve is considering adding a second teller? (who would work at the same rate as the? first) to reduce the waiting time for customers. He assumes that this will cut the waiting time in half.

g) If a second teller is? added, the average time a customer spends in the queue? = ____ minutes?

h) If a second teller is? added, the average number of customers in the queue? =??____ customers.

I) If a second teller is? added, the average time a customer spends in the system? = _____minutes

j) If a second teller is? added, the average number of customers in the system? =?? customers?

Globo opened its first store in 1992 and it is Canada's largest family shoe store with the widest selection of fashion-right footwear. The company has recently launched an online store. Sales via the internet have been sluggish compared to their brick and mortar stores, and management suspects that its regular customers have concerns regarding the security of online transactions. To determine if this is the case, they plan to survey a random sample of their regular customers. Under consideration are several plans for selecting the sample. Name the sampling strategy for each of the following.

a.Regular customers belong to a rewards program and have a customer rewards ID number. Randomly select 100 numbers.

b. Globo has stores in five different cities in Ontario, Canada. Randomly select one of the stores and survey all regular customers that belong to its rewards program.

c. Globo has an alphabetized list of regular customers who belong to their rewards program. After randomly selecting a customer on the list, every 25th customer from that point on is chosen to be in the sample.

d. Customers are grounded into four age categories ( under 21, 21 to 35, 36 to 50, and older than 50). Randomly select 10 regular customers in each age category.

As part of an educational experiment a sample of sixteen Year 3 children was randomly divided into two groups, each of size eight.
The first group of eight children was taught arithmetic by the use of traditional procedures, whilst the second group of eight was taught arithmetic by newer modern methods.
At the end of the year all 16 children sat for an arithmetic achievement test, and also an arithmetic understanding test.
The marks(out of 100) obtained by the children are shown in the following tables.

In answering the following questions you may assume that both achievement marks and understanding marks are normally distributed.

1. To test whether there is a significant difference between the mean Achievement mark and the mean Understanding mark of children taught by the Modern method we would carry out ( A. A paired t test B. A two sample t test)

2. To test whether there is a significant difference between the mean Achievement marks of children taught by the Traditional method and of children taught by the Modern method.  (A. A paired t test B. A two sample t test)

3. To test whether there is a significant difference between the mean Achievement mark and the mean Understanding mark of children taught by the Traditional method we would carry out . (A. A paired t test B. A two sample t test)

4. To test whether there is a significant difference between the mean Understanding marks of children taught by the Traditional method and of children taught by the Modern method. (A. A paired t test B. A two sample t test)