Help meeeeeeeeeeeeee

C = $35,740

Step-by-step explanation:

To calculated the expected cost to the company of a batch of 500 chairs, we need to find the expected number of defective chairs on a batch of 500 chairs, it is calculated as:

D = 500*(0.4*0.01*+ 0.35*0.02* + 0.25*0.03)

D = 9.25 defective chairs

Because we have 500 chairs, a probability of 0.4 to have 1% defective chairs, a probability of 0.35 to have 2% defective chairs and a probability of 0.25 to have 3% defective chairs.

Now, we just need to calculated the expected cost as:

C = 500*($70) + 9.25*($70+$10)

C = $35,740

Because we have 500 chairs that cost $70 each and 9.25 defective chairs that need to be replaced with a cost of $70 plus $10.

So, the expected cost to the company of a batch of 500 chairs is equal to $35,740