Answer :
First, find the expected number of scooters rented per month:
As the data is symmetrical, E(X) (the expected value) is the middle value. So, on average, 2.5 scooters should be taken per month.
His total costs were 5 * 3000 = $15,000
So, to break even, he needs to make $15,000.
He will be selling for 5 years, or 60 months.
As a result, he needs to make 15000/60 = $250/month
As he is selling 2.5 scooters on average, he needs to rent each for:
$250/2.5 = $100/month
As the data is symmetrical, E(X) (the expected value) is the middle value. So, on average, 2.5 scooters should be taken per month.
His total costs were 5 * 3000 = $15,000
So, to break even, he needs to make $15,000.
He will be selling for 5 years, or 60 months.
As a result, he needs to make 15000/60 = $250/month
As he is selling 2.5 scooters on average, he needs to rent each for:
$250/2.5 = $100/month
[tex]the\ expected\ value:\ \ \ E[X] = x_1p_1 + x_2p_2 + \dotsb + x_kp_k \\\\ E[X] =0\cdot \frac{1}{32} +1\cdot \frac{5}{32} +2\cdot \frac{10}{32} +3\cdot \frac{10}{32}+4\cdot \frac{5}{32}+5\cdot \frac{1}{32}= \frac{80}{32} =2.5\\\\5\ motor\ scooters\ \ \rightarrow\ \ \ 5\cdot \$3.000=\$15.000\\\\5\ years=5\cdot 12\ months=60\ months\\\\2.5\ motors\ monthly\ \ \rightarrow\ \ 2.5\cdot60=150\ motors\ at\ 5\ years\\\\[/tex]
[tex]x\ \ \rightarrow\ \ the\ price\ per\ month\ (to\ break\ even)\\\\150\cdot x=\$15.000\ \ \ \Rightarrow\ \ \ x= \$100\\\\Ans.\ \ \$100[/tex]
[tex]x\ \ \rightarrow\ \ the\ price\ per\ month\ (to\ break\ even)\\\\150\cdot x=\$15.000\ \ \ \Rightarrow\ \ \ x= \$100\\\\Ans.\ \ \$100[/tex]