Question Attached

Question Attached


Module 2 Assignment This is an individual or group assignment (it is your decision). Groups cannot exceed more than TWO students, feel free to pick your partner! Work on the following two problems. This assignment is worth 3 points. You will need at least 2 hours to complete this assignment Questions (You must use @Risk for Problem 1 and Excel built-in functions for Problem 2): 1. The revenues from ticket sales at CSU are significant, but the sale of food, beverages, and souvenirs has contributed greatly to the overall profitability of the football program. One particular souvenir is the football program for each game. The demand of programs at each game is described by the following probability distribution: Number (In 1005) of Programs sold 23 2 25 26 27 Each program costs $0.75 to produce and sells for $2.00. Any programs that are not sold are donated to a recycling center and do not produce any revenue. The number of programs to print per game(supply) follows a normal distribution with mean equal to 2,500 and standard deviation equal to 50. a. Simulate profit per game (size = 500). b. Compute the expected profit per game, median profit and the std deviation. Comment on the shape of the distribution of simulated profit (by comparing mean versus median) © What is the probability that profit per game will be less than $2,800? 2. Management of Toys R&U Company needs to decide whether to introduce a certain new novelty toy for the upcoming Christmas season, after which it would be discontinued. The cost required to produce and market this toy would follow a normal distribution with mean = $480,000 and standard deviation = $21,000 plus a variable cost that follows a continuous uniform distribution between $10 and $15 per toy. The selling price is $37 per toy. How many units must they sell to break even (profit = 0)? a. Simulate units required for break even, simulation size = 500. Then, compute the average, median, and standard deviation of the number of simulated units to break even. b. Based on a, find the probability that numbers of units to break even is at least 19,000 but no more than 23,000. c. Find the Sth and 95th percentiles for the simulated units to break even. Requirements + Submission must include one excel workbook with all appropriate work and one word/pdf report (one submission per group). Walton Simulation Worksheet Simulation of Walton's Bookstore using @RISK Cost dataDemand distribution - triangular Unit cost$7.50Minimum100 Unit price$10.00Most likely175 Unit refund$2.50Maximum300 Decision variable Order quantity200 Simulated quantities DemandRevenueCostLeft OverRefundProfit ERROR:#NAME?ERROR:#NAME?$1,500ERROR:#NAME?ERROR:#NAME?ERROR:#NAME?