SOLUTION: This problem is driving me insane! can you help me please?! Thank you.
The product development team from Armed Forces Credit Union was convinced by your presentation and has hir
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-> SOLUTION: This problem is driving me insane! can you help me please?! Thank you.
The product development team from Armed Forces Credit Union was convinced by your presentation and has hir
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Question 295588: This problem is driving me insane! can you help me please?! Thank you.
The product development team from Armed Forces Credit Union was convinced by your presentation and has hired you to help them with their credit card decision. They have focused on 3 options for their credit card incentives:
A. Cash back when the consumer makes an online purchase
B. Cash back when the consumer makes a purchase at a shoe store
C. Entry into a sweepstakes whenever the consumer makes a purchase
If they choose option C (the sweepstakes entry), they will award a prize to 1 in 1,000 purchases. Based on the frequency that consumers make purchases with their other credit cards, the Armed Forces Credit Union team estimates that consumers will make an average of 52 purchases a year with the new card.
Armed Forces Credit Union has asked you about the probability of each option being preferred by cardholders as well as the probability of an individual consumer receiving a prize over the course of a year.
Assignment Guidelines:
* Determine the probability of each option being preferred by the company's cardholders.
* Determine the probability that an individual customer will receive a prize over the course of a year.
