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Question: supermarket customers load their carts with goods totaling between 5...
Question details
Supermarket customers load their carts with goods totaling
between $5 and $250 uniformly (and continuously) distributed; call
this the raw order amount. Assume that customers purchase
independently of each other. At checkout, 63% of customers have a
loyalty card that gives them 4% off their raw order amount. Also at
checkout, 18% of customers have coupons that give them 7% off their
raw order amount. These two discounts occur independently of each
other, and a given customer could have one or the other of them,
both of them, or neither of them. To get to their net order amount
(what they actually pay) construct a spreadsheet simulation to
simulate 100 customers and collect statistics on the net order
amount; these statistics should include the average, standard
deviation, minimum, maximum, and a histogram to describe the
distribution of the net order amounts between $0 and $250. To make
the requested histogram, you can either mimic what was done in the
newsvendor spreadsheet simulation, or use a different approach via
whatever built-in Excel facilities you'd like. (HINT: To decide
whether a customer gets a loyalty discount, explore the Excel IF
function with the first argument's being a random number RAND()
distributed uniformly between 0 and 1; do similarly to decide on a
coupon discount.)
Solution by an expert tutor
