Dell-EMC
E20-065 · Question #16
A hotel chain runs a simul-ation on room pricing. They want to estimate revenue, per hotel, within +/- $10 with 95% confidence (Za/2=1.96). The estimated revenue standard deviation is $5000 based on…
The correct answer is C. A linear congruential generator (LCG) was used (or pseudo-random number generation. See the full explanation below for the reasoning.
Question
A hotel chain runs a simul-ation on room pricing. They want to estimate revenue, per hotel, within +/- $10 with 95% confidence (Za/2=1.96). The estimated revenue standard deviation is $5000 based on previous booking data. What is the optimal number of simulation trials to run?
Options
- AA 32-bit operating system was used
- BThe same number of trials was used
- CA linear congruential generator (LCG) was used (or pseudo-random number generation
- DDifferent seeds tor the random number generator were used.
How the community answered
(40 responses)- A8% (3)
- B3% (1)
- C80% (32)
- D10% (4)
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