A pizza shop delivers an extra large pizza, which is sold for $20, and costs
the pizza shop $12 to make. The pizza shop has a delivery policy that says
if the pizza takes longer than half an hour to arrive, there is no charge.
Experience has shown that delivery takes longer than half an hour only
10% of the time.
Let the random variable X be the pizza shop's profit for a randomly
selected delivery order for one of these pizzas. Here is the probability
distribution for X:
X = profit
P(X)
Late
- $12
ox=
0.10
On-time
$8
0.90
Given that μx =
$6, calculate ox.
Round your answer to two decimal places.
dollars