Many stores run "secret sales": Shoppers receive cards that determine how large a discount they get,but the percentage is revealed by scratching off that black stuff only after the purchase has been totaled at the cash register.The store is required to reveal (in the fine print)the distribution of discounts available.Determine whether the following probability assignment is legitimate. Probability of ... $$\begin{array} { l | l | l | l }
10 \% \text { off } & 20 \% \text { off } & 30 \% \text { off } & 50 \% \text { off } \
\hline 0.30 & 0.35 & 0.20 & 0.25
\end{array}$$
A)Legitimate
B)Not legitimate

Question

Many stores run "secret sales": Shoppers receive cards that determine how large a discount they get,but the percentage is revealed by scratching off that black stuff only after the purchase has been totaled at the cash register.The store is required to reveal (in the fine print)the distribution of discounts available.Determine whether the following probability assignment is legitimate. Probability of ... $$\begin{array} { l | l | l | l } 
10 \% \text { off } & 20 \% \text { off } & 30 \% \text { off } & 50 \% \text { off } \
\hline 0.30 & 0.35 & 0.20 & 0.25
\end{array}$$
A)Legitimate
B)Not legitimate

Quizplus · Accepted Answer

The probability assignment is not legitimate as it is not specific and does not provide equal chances to all customers. Without a specific range of discounts available, the store could potentially give all customers the same, low discount or only offer high discounts to a select few. This undermines the purpose of a "secret sale" and could lead to customer dissatisfaction.

Many Stores Run "Secret Sales": Shoppers Receive Cards That Determine