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Bus and subway ridership for the summer months in London, England, is believed to be tied heavily to the number of tourists visiting the city. During the past 12 years, the data on the next page have been obtained: a) Plot these data and decide if a linear model is reasonable. b) Develop a regression […]

 

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Use the data in Solved Problem 5.1 to examine what happens to the decision if Sarah King can increase all of Design B yields from 59,000 to 64,000 by applying an expensive phosphorus to the screen at an added manufacturing cost of $250,000. Prepare the modified decision tree. What are the payoffs, and which branch […]

 

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Residents of Mill River have fond memories of ice skating at a local park. An artist has captured the experience in a drawing and is hoping to reproduce it and sell framed copies to current and former residents. He thinks that if the market is good he can sell 400 copies of the elegant version […]

 

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The product design group of Iyengar Electric Supplies, Inc., has determined that it needs to design a new series of switches. It must decide on one of three design strategies. The market forecast is for 200,000 units. The better and more sophisticated the design strategy and the more time spent on value engineering, the less […]

 

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