Business
Business, 19.10.2021 14:00, curtez11

The management of Brinkley Corporation is interested in using simulation to estimate the profit per unit for a new product. The selling price for the product will be $45 per unit. Probability distributions for the purchase cost, the labor cost, and the transportation cost are estimated as follows. Procurement Cost ($) Probability Labor Cost ($) Probability Transportation Cost ($) Probability 10 0.20 20 0.15 3 0.75 11 0.45 22 0.20 5 0.25 12 0.35 24 0.35 25 0.30 (a) Construct a simulation model to estimate the average profit (in $) per unit and the variance of the profit per unit. (Use at least 1,000 trials. Round your answer to two decimal places.) average $ variance What is a 95% confidence interval (in $) around this average

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