Question: This was the solution I received, but I don't understand how the distribution was found from the percentage found below: If the cars are evenly
This was the solution I received, but I don't understand how the distribution was found from the percentage found below:
If the cars are evenly distributed among the 4 possibilities on a given day, we can assume that there are 25% of cars at each location (since 30% are still on loan). Using the given return statistics, we can calculate the distribution of cars the next day as follows:
- For cars rented from location 1:
- 45%*25% = 11.25% returned to location 1
- 25%*10% = 2.5% returned to location 2
- 15%*10% = 1.5% returned to location 3
- 45%*25% = 11.25% still on loan
- For cars rented from location 2:
- 10%*25% = 2.5% returned to location 1
- 25%*25% = 6.25% returned to location 2
- 20%*25% = 5% returned to location 3
- 45%*25% = 11.25% still on loan
- For cars rented from location 3:
- 15%*25% = 3.75% returned to location 1
- 15%*25% = 3.75% returned to location 2
- 35%*25% = 8.75% returned to location 3
- 35%*25% = 8.75% still on loan
- For cars still on loan:
- 50%*25% = 12.5% returned to location 1
- 15%*25% = 3.75% returned to location 2
- 10%*25% = 2.5% returned to location 3
- 25%*25% = 6.25% still on loan
Therefore, the distribution of cars the next day would be:
- 16.5% at location 1
- 13% at location 2
- 18.75% at location 3
- 51.75% still on loan
Step by Step Solution
There are 3 Steps involved in it
Get step-by-step solutions from verified subject matter experts
