When Val checks her cable bill, she is shocked by her movie-rental bill for the month. Renting movies costs $2.99 for each movie. She could pay $7.99 a month that allows her to watch unlimited movies, but she doesn't have a lot of time to watch movies and she doesn't want to waste her money if it's not worth it. She creates the following probability distribution for the number of movies she typically watches each month: Should Val buy the monthly plan for unlimited movies or should she continue to pay $2.99 per movie? Explain your choice thoroughly. *

Question

02-12-2020
Mathematics

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When Val checks her cable bill, she is shocked by her movie-rental bill for the month. Renting movies costs $2.99 for each movie. She could pay $7.99 a month that allows her to watch unlimited movies, but she doesn't have a lot of time to watch movies and she doesn't want to waste her money if it's not worth it. She creates the following probability distribution for the number of movies she typically watches each month: Should Val buy the monthly plan for unlimited movies or should she continue to pay $2.99 per movie? Explain your choice thoroughly. *

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Harrisonjob Harrisonjob · Answer 1 · 2020-12-10T01:14:11+01:00

Answer:

She should buy the monthly plan for the unlimited movies rather than pay $2.99 per movie. This is because, the more she pay that amount for each movie, the higher her expenses would become at the end of each month.

For example, let assume, in a month, she 8 free days (Saturday and Sunday). She paying for each movie each of those days would supersede the amount she could have spent assuming she did the unlimited monthly plan of $7.99.

That notwithstanding other days which will feel like watching movies or the public holidays which she would be free to relax.

Step-by-step explanation: