A pharmaceutical company receives large shipments of aspirin tablets. The acceptance sampling plan is to randomly select and test 40 tablets, then accept the whole batch if there is only one or none that doesn't meet the required specifications. If one shipment of 5000 aspirin tablets actually has a 3% rate of defects, what is the probability that this whole shipment will be accepted? Will almost all such shipments be accepted, or will many be rejected?
Answer)
As there are fixed number of trials and probability of each and every trial is same and independent of each other
Here we need to use the binomial formula
P(r) = ncr*(p^r)*(1-p)^n-r
Ncr = n!/(r!*(n-r)!)
N! = N*n-1*n-2*n-3*n-4*n-5........till 1
For example 5! = 5*4*3*2*1
Special case is 0! = 1
P = probability of single trial = 0.03
N = number of trials = 40
R = desired success = P(0) + P(1).
= 0.66154192129913279498948663112125511966004786122340140758535526194999034006060801
= 0.6615
From 100 such shipments, 66.15 ~ 66 would be accepted and 34 would be rejected.
And among 5000,
Expected value = n*p = 5000*0.6615 = 3308 would be accepted.
And 5000 - 3308 = 1692 would be rejected.
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