You work at a bank and were asked to recommend the amount of cash to put in an A

Question

You work at a bank and were asked to recommend the amount of cash to put in an ATM each day. You don't want to put too much in (security) or too little (customer irritation). Complete parts a) through c) below. Daily withdrawals ( in 100's of dollars) for a period of thirty days are as follows:   

a)Construct a relative frequency histogram using 8 classes.

b) If you put $7450 in the ATM each day, what percent of days in the month would you expect to run out of cash?(round to the nearest tenth as needed)

c)If you are willing to run out of cash for 10% of the days, how much cash should you put in the ATM each day?(round to the nearest hundred dollars as needed).

55 84 67 59 65 72 74 86 79 69 73 70 58 66 69 64 66 73 63 77 64 67 63 70 74 69 74 61 75 70

Explanation / Answer

a)

The distribution is

b)If we put 7450 each day , we expect to run out on 5 of 30 days 0r 16.66% days

c)If we are willing to run out of cash for only 10% of 30 days or 3 days, we neglect the last 3 values and get the answer as we should put 7800 in the machine

55-58 2 59-62 2 63-66 7 67-70 8 71-74 6 75-78 2 79-82 1 83-86 2

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