SELF-REVIEW 6-2

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The Pizza Palace offers three sizes of cola. The smallest size sells for $1.99, the medium for $2.49, and the large for

$2.89. Thirty percent of the drinks sold are small, 50% are medium, and 20% are large. Create a probability

distribution for the random variable price and answer the following questions.

(a) Is this a discrete probability distribution? Indicate why or why not.

(b) Compute the mean amount charged for a cola.

(c) What is the variance in the amount charged for a cola? The standard deviation?