You often go to a certain restaurant for breakfast. You believe that the length of time X spent waiting to pick up your food on any given visit follows a normal distribution with mean 4 minutes and standard deviation 1.5 minutes.
You will become impatient if you have to wait too long for your food. In fact, you decide you will become impatient if your wait time falls in the worst 5% of the distribution. How long should you wait on any given visit before becoming impatient?
At Christmastime, you decide you will give the cashier a $10 tip if you receive particularly fast service (in the best 1% of the distribution). To how long of a wait time does this correspond?
It is given that the length of time X spent waiting to pick up your food on any given visit follows a normal distribution with mean 4 minutes and standard deviation 1.5 minutes. hence .
Let you will wait a maximum of , then we have,
You will wait a maximum of minutes.
Let you will wait a maximum of , then we have,
You will wait a maximum of minutes and will give the cashier a tip.
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