Mathematics

Catherine Gallagher

12 March, 23:52

There are three cell phone models in a store. When selecting a new cell phone, 25% of the customers choose model A, 33% choose model B, and 32% choose model C. The remaining customers buy from an old collection on which the average profit is $50. If the average profit earned on models A, B, and C is $60, $75, and $40, respectively, what is the expected value of the profit earned on all models?

a] $55.75

b] $57.55

c] $59.25

d] $60.25