Exercise Chapter 8

A baker is trying to determine how many dozens of doughnuts to bake each day. The
probability distribution of the number of doughnut customers is as follows:

Customers order 1, 2, 3, or 4 dozen doughnuts according to the following probability

distribution:

Create an Excel spreadsheet that will simulate the number of customers in a day and the
number of dozens of donuts ordered for 20 possible customers. Use an IF() function in Excel
to determine how many of the 20 customer orders actually occur during the day. Hint: Use
random number from 0 to 100.
ANSWER:

NUMBER OF CUSTOMERS PER DAY 5 10 15 20

PROBABILITY 0.15 0.40 0.35 0.10

CUMULATIVE PROBABILITY 0.15 0.55 0.90 1.00

RANDOM NUMBER INTERVAL 0 to 15 16 to 55 56 to 90 91 to 100

NUMBER OF DOZEN ORDERED PER

1 2 3 4
CUSTOMER

PROBABILITY 0.3 0.4 0.2 0.1

CUMULATIVE PROBABILITY 0.3 0.7 0.9 1.0

RANDOM NUMBER INTERVAL 0 to 30 31 to 70 71 to 90 91 to100

SIMULATION RANDOM NUM DEMAND
1 62 2
2 16 1
3 7 1
4 17 1
5 40 2
6 47 2
7 55 2
8 94 4
9 83 3
10 99 4
11 80 3
12 85 3
13 27 1
14 63 2
15 74 3
16 61 2
17 57 2
18 24 1
19 81 3
20 53 2