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Operating profit at XYZ is calculated as follows: Profit = 0.3 * Sales - FixedCost. Sales can be approximated by a normal random variable with a mean of 31,000 dollars and a standard deviation of 3,000 dollars and past fixed cost information is given below.
Using the Monte Carlo simulation techniqe with 30,000 repetitions estimate the probability that XYZ will incurr a loss (Pr{Profit<0}).
Do not fix your random numbers.
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Excel keeps changing my 10 digit number that I enter and adds a decimal points followed by random numbers.
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