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To generate leads for new business, Gustin Investment Services offers free financial planning seminars at major hotels in Southwest Florida. Gustin conducts seminars for groups of 25 individuals. Each seminar costs Gustin $3,700, and the commission for each new account opened is $5,200. Gustin estimates that for each individual attending the seminar, there is a 0.01 probability that he/she will open a new account.

(c) Construct a simulation model to analyze the profitability of Gustin’s seminars. Would you recommend that Gustin continue running the seminars? (Use at least 1,000 trials. Round your answer to two decimal places.)

From the simulation, we estimate that on average one of these seminars results in a Loss/Gain of $?????? , so Gustin Shoud /Shoud not continue running the seminars.

That is all information of this question. (The question doesn’t give me the information about the “New Accounts Opened”)

 
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