Question: 2) Due to price changes, the U.S. Postal Service (USPS) sells a variety of stamps which are used to supplement stamps from prior to
2) Due to price changes, the U.S. Postal Service (USPS) sells a variety of stamps which are used to supplement stamps from prior to the price change. For example, the recent increase in the cost of Forever stamps from 46 to 49 requires the 46 stamp to be paired with a 3 stamp for mailing. Let X be the value of these supplemental stamps (in cents). Assume the demand for these stamps follows the distribution below: 1 0.05 2 0.16 3 0.37 4 0.12 X P(X = x) Calculate the standard deviation for the value of these stamps. 5 0.09 10 0.14 20 0.07
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Lets proceed with the calculations Step 1 Calculate the mean expected value Mean EX x PXx EX 2 005 3 ... View full answer
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