Air-USA has a policy of booking as many as 21 persons on an
airplane that can seat only 19. (Past studies have revealed that
only 88% of the booked passengers actually arrive for the
flight.)
Find the probability that if Air-USA books 21 persons, not enough
seats will be available.
prob =
Is this probability low enough so that overbooking is not a real
concern for passengers if you define unusual as 5% or less?
What about defining unusual as 10% or less?
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