The owner of a small firm has just purchased a personal computer, which she expects will serve her for the next two years. the owner has been told that she "must" buy a surge suppressor to provide protection for her new hardware against possible surges or variations in the electrical current, which have the capacity to damage the computer. the amount of damage to the computer depends on the strength of the surge. it has been estimated that there is a 1% chance of incurring 550 dollar damage, 6% chance of incurring 150 dollar damage, and 15% chance of incurring 100 dollar damage from a surge within the next two years. an inexpensive suppressor, which would provide protection for only one surge, can be purchased. how much should the owner be willing to pay if she makes decisions on the basis of expected value?

The owner should not spend more than $29.95 for the surge.

Step-by-step explanation:

Hi, to answer this question we have to multiply each probability by the cost incurred, and then add the results.

1% chance of incurring 550 dollar damage = (1/100) 550 = $5.5

6% chance of incurring 150 dollar damage = (6/100) 150 =$ 9

15% chance of incurring 100 dollar damage = (15/100) 100 = $15

Expected value of repairs: $5.5 +$9+$15 =$29.5

The owner should not spend more than $29.95 for the surge.

step-by-step explanation:

if you want to solve percent error follow these steps.

1. subtract the accepted value from the experimental value.

2. take the absolute value of step 1.

3. divide that answer by the accepted value.

4. multiply that answer by 100 and add the % symbol to express the answer as a percentage.

if you want to solve percent of change just do this.

1. work out the difference (increase) between the two numbers you are comparing.

2. divide the increase by the original number and multiply the answer by 100. if your answer is a negative number then this is a percentage decrease.

hope this : )

rick has $1400 and sally has $1500

step-by-step explanation:

to find amount of money rick has after 10 years :

principal = $1000 , time = 10 years , rate = 4% annually

to find amount of money sally has after 10 years :

her friend gives to pay her $50 per year, therefore money she has after 10 years = 50 × 10 = $500

also, sally gets $1000 after 10 years,

therefore, total amount of money sally has after 10 years = 500 + 1000 = $1500

so, after 10 years : rick has $1400 and sally has $1500