(Solved): Do not worry about part D  Suppose we are interested in bidding on a piece of land and we know ...

Do not worry about part D 

Suppose we are interested in bidding on a piece of land and we know one other bidder is interested. The seller announced that the highes will be accepted. Assume that the competitor's bid \( x \) is a random variable that is uniformly distributed between \( \$ 10,000 \) and \( \$ 15,000 \). a. Suppose you bid \( \$ 12,000 \). What is the probability that your bid will be accepted (to 2 decimals)? b. Suppose you bid \( \$ 14,000 \). What is the probability that your bid will be accepted (to 2 decimals)? c. What amount should you bid to maximize the probability that you get the property? \( \$ \) d. Suppose that you know someone is willing to pay you \( \$ 16,000 \) for the property. You are considering bidding the amount shown in part (c) but a friend suggests you bid \( \$ 13,000 \). If your objective is to maximize the expected profit, what is your bid? What is the expected profit for this bid (to 2 decimals)?