ICG, Inc has been struggling to launch a new product for the past 12 months. Need Help Writing an Essay?Tell us about your ESSAY and we will find the best writer for your paper. Write My Essay For MeGiven the info below, what is the uncertainty distribution of the expected revenues of a new product? |
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The average price for the product can be minimally $10, most likely $12 and maximally $15. |
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Sales may be between 1,000 and 100,000 products, with most likely sales of 30,000. |
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Use the regular PERT distributions (see a description of the Pert distribution in @Risk) to determine:
1.Average expected total revenue
2.What is the probability that expected revenue will be less than $123,123
3.What is the probability that expected revenue will be higher than $800,000 |
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OBS: Simulation settings: 5,000 iterations
Sampling Type: = Latin Hypercube
Initial Seed Fixed =123
RGN = Mersenne Twister
Multiple simulations All use same seeds
4. What is the difference between choosing static values or random values for distribution returns when a simulation is not running?
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