Inputs Price Probabilityquantity Total High Sales $8 0.5 100000 $800,000 Low Sales $10 0.5 60000 $600,000
The document summarizes sales and cost data for a company that has two possible sales quantities with different prices and probabilities. It calculates total sales of $800,000, total costs of $600,000 including a fixed cost of $30,000, and total profit of $170,000, with a mean profit of $70,240.
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Inputs Price Probabilityquantity Total High Sales $8 0.5 100000 $800,000 Low Sales $10 0.5 60000 $600,000
The document summarizes sales and cost data for a company that has two possible sales quantities with different prices and probabilities. It calculates total sales of $800,000, total costs of $600,000 including a fixed cost of $30,000, and total profit of $170,000, with a mean profit of $70,240.