Grear Tire Company has produced a new tire with an estimated mean lifetime mileage of 36,500 miles. Management also beli

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Grear Tire Company has produced a new tire with an estimatedmean lifetime mileage of 36,500 miles. Management also believesthat the standard deviation is 5,000 miles and that tire mileage isnormally distributed. To promote the new tire, Grear has offered torefund a portion of the purchase price if the tire fails to reach30,000 miles before the tire needs to be replaced. Specifically,for tires with a lifetime below 30,000 miles, Grear will refund acustomer $1 per 100 miles short of 30,000. Construct a simulationmodel to answer the following questions. (Use at least 1,000trials.)
(a)
For each tire sold, what is the expected cost (in dollars) ofthe promotion? (Round your answer to two decimal places.)
$
(b)
What is the probability that Grear will refund more than $50 fora tire? (Round your answer to three decimal places.)
(c)
What mileage should Grear set the promotion claim if it wantsthe expected cost to be $2?
This question can be answered by trial and error. While the meanprofit can vary, a promotion claimof ---Select--- 23,700 25,700 27,700 29,700 31,700 mileswill result in an expected cost of approximately $2.00.
Show your work for parts (a) and (b). Upload your spreadsheet.(Submit a file with a maximum size of 1 MB.)