A lab orders a shipment of 100 frogs each week. Prices for the weekly shipments of frogs follow the distribution below: $$\begin{array} { l | c c c }
\text { Price } & \$ 10.00 & \$ 12.50 & \$ 15.00 \
\hline \text { Probability } & 0.3 & 0.45 & 0.25
\end{array}$$ Suppose the mean cost of the frogs is $12.38 per week. Interpret this value.
A) The average cost for all weekly frog purchases is $12.38.
B) The frog cost that occurs more often than any other is $12.38.
C) The median cost for the distribution of frog costs is $12.38.
D) Most of the weeks resulted in frog costs of $12.38.

Question

A lab orders a shipment of 100 frogs each week. Prices for the weekly shipments of frogs follow the distribution below: $$\begin{array} { l | c c c } 
\text { Price } & \$ 10.00 & \$ 12.50 & \$ 15.00 \
\hline \text { Probability } & 0.3 & 0.45 & 0.25
\end{array}$$ Suppose the mean cost of the frogs is $12.38 per week. Interpret this value.
A) The average cost for all weekly frog purchases is $12.38.
B) The frog cost that occurs more often than any other is $12.38.
C) The median cost for the distribution of frog costs is $12.38.
D) Most of the weeks resulted in frog costs of $12.38.

Quizplus · Accepted Answer

The mean cost of $12.38 per week represents the average cost for all weekly frog purchases over time, calculated using the given probabilities and prices.

A Lab Orders a Shipment of 100 Frogs Each Week Price $10.00$12.50$15.00 Probability 0.30.450.25\begin{array} { l | c c c } \text { Price } & \$ 10.00 & \$ 12.50 & \$ 15.00 \\\hline \text { Probability } & 0.3 & 0.45 & 0.25\end{array} Price Probability ​$10.000.3​$12.500.45​$15.000.25​​

A Lab Orders a Shipment of 100 Frogs Each Week $\begin{array} { l | c c c } \text { Price } & \$ 10.00 & \$ 12.50 & \$ 15.00 \\\hline \text { Probability } & 0.3 & 0.45 & 0.25\end{array}$