you are an art salesperson whose job is to sell paintings. you sell paintings at art festivals, as well as out of your studio on non- festival days festivals occur once every 20 days and there is independently a 10% chance of a sale on any given day. you also know that half of previous sales have occurred during festivals. if there is a festival what is the probability of a sale?

Answer :

Sales probability, or sales forecasting, is a process where a company attempts to predict its sales in the future.

How do you find the probability of sales?

  • Opportunity stage forecasting: This method uses the probability of closing deals at each stage of a sales interaction, or the close rate of a company. The formula is "sales forecast = total value of current deals in sales cycle x close rate."
  • Probability determines the likelihood of an event occurring: P(A) = f / N. The formula to calculate gross sales is Total Units Sold x Original Sale Price = Gross Sales.
  • Multiply your estimated units sold by your price per unit and then multiply that result by how many months you projected revenue will cover. This is how much revenue you should expect to bring in for that product or service.
  • Probability is calculated by dividing the number of ways the event can occur by the total number of outcomes. Probability and odds are different concepts. Odds are the probability that something happens divided by the probability that it doesn't happen.
  • We are given that you and a group of friends are going to a five-day outdoor music festival during spring break.
  • Also, Probability that there may be rain on first day, P(A) = 0.15
  • Probability that there may be rain on second day, P(B) = 0.10
  • Probability that there may be rain on third day, P(C) = 0.20
  • Probability that there may be rain on fourth day, P(D) = 0.20
  • Probability that there may be rain on fifth day, P(E) = 0.60
  • It is also provided that these probabilities are independent of whether it rained on the previous day or not.

Now, probability that it does not rain during the entire festival = Probability that there may not be rain on all five days

(1 - P(A))*(1 - P(B))* (1 - P(C))* (1 - P(D))* (1 - P(E))

= (1 - 0.15)*(1 - 0.10)*(1 - 0.20)*(1 - 0.20)*(1 - 0.60)

= 0.85* 0.90*0.80*0.80*0.40 = 0.19584

To learn more about probability refer to:

https://brainly.com/question/28006367

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