The best-selling college statistics text, The Thrill ofStatistics, sells 5 million copies every fall. Some users keepthe book, and some sell it back to the bookstore. Supposethat 90% of all students who buy a new book sell it back,80% of all students who buy a once-used book sell it back,and 60% of all students who buy a twice-used book sell itback. If a book has been used four or more times, the coverfalls off, and it cannot be sold back.a In the steady state, how many new copies of thebook will the publisher be able to sell each year?b Suppose that a bookstore’s profit on each type ofbook is as follows:New book: $6Once-used book: $3Twice-used book: $2Thrice-used book: $1If the steady-state census is representative of the bookstore’ssales, what will be its average profit per book?
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