Simulation (Monte Carlo) (6 pts) 4. A youth organized in Small and Micro busines
ID: 2908288 • Letter: S
Question
Simulation (Monte Carlo) (6 pts) 4. A youth organized in Small and Micro business sell different house equipments. One of these equipments is 30- gallon water heater, which they maintain stock and sell to home owners and install for them as post sales service package. The owners like the idea of having a large supply to meet any demand of customer. However, they also recognize that it is expensive to do so. They examine water heater sales over the past 50 weeks and note the following Water Heater sales per week Number of weeks this sales was sold 12 10 p) If the owners maintain a constant supply of 6 water heaters in any given week, how many times will he stock out during a 15 week simulation. (Use random numbers from 7th column of the attached table beginning with a random digit 10.) (4pts) b) What is the average number of sales per week over a 15-week period? (2 pts)Explanation / Answer
1. water heater sales per week is treated as a variable and no. of times such sales taken place is denoted with its corresponding frequency
From the given data
TOTAL 50 1.00
simulation of sales distribution for the next 15 weeks is given in the following table
2
TOTAL 90 121 26
Average supplyper week = 90/15 = 6
Average sales per week = 121/15 = 8.07
No.of weeks out of stock = 11
No. of weeks excess supply = 3
MY dear student you have to observe that the random numbers are not given in the table so i consider 15 random numbers randomly from the calculator. if you want to introduce your set of random numbers you can construct the above table again with your set of random numbers
sales per week frequency probability= frequency/ total frequency cumulative probability random number interval 4 6 0.12 0,12 00 - 12 5 5 0.10 .0.22 13 - 22 6 9 0.18 0.40 23 - 40 7 12 0.24 0.64 41 -64 8 8 0.16 0.80 65 - 80 9 7 0.14 0.94 81 - 94 10 3 0.06 1.00 95 - 99