Olivia decides to choose a data package that minimizes her total cost. She is not sure...
Fantastic news! We've Found the answer you've been seeking!
Question:
Transcribed Image Text:
Olivia decides to choose a data package that minimizes her total cost. She is not sure how much data she will use over the month, but she believes that it is reasonable to assume that she will use 4 GB or 6 GB. (b) Identify the recommended data package using the conservative approach. (i) (10 marks) Assume that the probability of Olivia using 4 GB and 6 GB of data per month is 0.4 and 0.6, respectively. Using the expected value approach, which data package should Olivia choose? (4 marks) Discuss how changes in the probabilities in (i) affect the decision. (11 marks) Question 3 Olivia will receive a one-month training abroad. In order to facilitate contact, she plans to purchase a data package. She found three monthly data package options. The price of each package is divided into two parts: a fixed fee and a variable fee. Regardless of the data usage, a fixed fee will be incurred. If the data usage exceeds a set limit, the amount exceeding the limit will incur variable fees. The fixed fees, set limits, and variable fees are shown in Table 1. Table 1: Data package price Package Fixed fee ($) 1 2 3 12 15 20 Set limit (GB) 4 5 6 Variable fee ($) per additional 0.001 GB 0.006 0.010 0.008 Olivia decides to choose a data package that minimizes her total cost. She is not sure how much data she will use over the month, but she believes that it is reasonable to assume that she will use 4 GB or 6 GB. (b) Identify the recommended data package using the conservative approach. (i) (10 marks) Assume that the probability of Olivia using 4 GB and 6 GB of data per month is 0.4 and 0.6, respectively. Using the expected value approach, which data package should Olivia choose? (4 marks) Discuss how changes in the probabilities in (i) affect the decision. (11 marks) Question 3 Olivia will receive a one-month training abroad. In order to facilitate contact, she plans to purchase a data package. She found three monthly data package options. The price of each package is divided into two parts: a fixed fee and a variable fee. Regardless of the data usage, a fixed fee will be incurred. If the data usage exceeds a set limit, the amount exceeding the limit will incur variable fees. The fixed fees, set limits, and variable fees are shown in Table 1. Table 1: Data package price Package Fixed fee ($) 1 2 3 12 15 20 Set limit (GB) 4 5 6 Variable fee ($) per additional 0.001 GB 0.006 0.010 0.008
Expert Answer:
Answer rating: 100% (QA)
a To identify the recommended data package using the conservative approach we need to compare the total cost for both options of using 4 GB and 6 GB o... View the full answer
Related Book For
Posted Date:
Students also viewed these mathematics questions
-
List three specific parts of the Case Guide, Objectives and Strategy Section (See below) that you had the most difficulty understanding. Describe your current understanding of these parts. Provide...
-
THE SHOPPES AT RIVERSIDE Fonda L. Carter, Columbus State University Kirk Heriot, Columbus State University CASE DESCRIPTION This case asks the students to recommend a decision to a group of...
-
Amy Lloyd is interested in leasing a new Saab and has contacted three automobile dealers for pricing information. Each dealer offered Amy a closed-end 36-month lease with no down payment due at the...
-
Julie is the insured on a $300,000 ordinary life insurance policy. Julie sells her life insurance policy to Ben for $20,000. Ben promptly named himself beneficiary. The policy had a cash surrender...
-
Find H(jw) if its magnitude characteristic is shown infigure. IHI +20 dB/dec -40 dB/dec 40 dB -20 dB/dec 10 80 120 w (rad/s)
-
(a) Figure out the electron configurations (in the notation of Equation 5.44) for the first two rows of the Periodic Table (up to neon), and check your results against Table 5.1. (b) Figure out the...
-
What is a System Retirement/Disposal Concept? Identify examples of its UCs.
-
Ken Jones, the number-one-ranked prizefighter in his weight class, signed a two-year contract with Howard Stayword. The contract obligated Stayword to represent and promote Jones in all business and...
-
On December 31, Jarden Company's Allowance for Doubtful Accounts has an unadjusted credit balance of $15,000. Jarden prepares a schedule of its December 31 accounts receivable by age. Accounts...
-
Usonic, Inc., has collected the following information on its cost of electricity: Required a. Prepare a scattergraph of Usonic's electricity costs for the year. Plot the total electricity cost on the...
-
If a natural number P is increased by 1, its cube increases by 33.1%. What is the value of the square of P? 1. 81 2. 100 3. 64 4. 121 5. 196
-
19. a. On a unit circle diagram, show the trigonometric point P[2] and the line segments sin(2), cos(2) and tan(2). Label them with their length measures expressed to 2 decimal places. b. State the...
-
The amount of the semi-annually payment of a R 65,000 deposited into a sinking fund that earns 6% compounded semb-annually for 45 years is? (Assume payments are made at the end )
-
A light is hung 15 ft above a straight horizontal path. If a man 6 feet tall is walking away from the light at the rate of 5 f(t)/(s), how fast is his shadow lengthening?
-
The function l(s)=0.046s^(2)-.199s+.264 . If a skid mark with a length of 82.5ft was found, find the speed of the car. Round your answer to the nearest tenth.
-
Solve (v-10)^(3)+72=0 where v is a real number. Write your answer in simplified radical form. (If there is more than one solution, separate them with commas. )
-
). Is the exclusion from income available for IRA owners, regardless of their age? What was the initial expiration date for this provision? What is the current expiration date for this exclusion and...
-
Compare and contrast licensing and subcontracting.
-
Write out the sum. (& + 2) k=1
-
Establish each identity. sin(40) + sin(80) tan(60) sin(40) sin(80) tan(20)
-
If we only approach c from one side, then we have a(n) _______limit.
-
A tapered circular bar is rigidly fixed at both the ends as shown in Fig. 13.45. If the temperature is raised by \(50^{\circ} \mathrm{C}\), calculate the stress in the bar. Take \(E=202...
-
A trapezoidal flat steel plate of thickness \(10 \mathrm{~mm}\) tapers uniformly from a width \(150 \mathrm{~mm}\) to \(100 \mathrm{~mm}\) in a length of \(500 \mathrm{~mm}\). Calculate the extension...
-
On the principal planes, the maximum stress is the (a) normal stress (b) shear stress (c) both normal and shear stress (d) either normal or shear stress
Study smarter with the SolutionInn App