Question

AMC Inc. evaluates divisional managers in part by the number of consumer complaints senior management receives...

AMC Inc. evaluates divisional managers in part by the number of consumer complaints senior management receives every month. The expectation is that no more than 20 complaints per division per month should be flagged for corporate attention. A sample of divisional data for the last five years or 60 months was collected. AMC defined X to be a random variable counting the number of complaints when twenty or more complaints in any division required senior management attention in a month; f(X) is the relative frequency of X. 30% of all complaints requiring corporate attention fell into this category and were included in the sample.

OPEN THE EXCEL EXAM TWO FILE. THE SPREADSHEET FOR THIS PROBLEM IS FOUND ON SHEET ONE. COMPLETE AND SAVE YOUR WORK IN EXCEL AND ENTER THE SOLUTIONS BELOW.

1. (5 points) What is the probability that X = 21? In one sentence, explain how you know.

Homework Answers

Answer #1

BIONOMIAL DISTRIBUTION
pmf of B.D is = f ( k ) = ( n k ) p^k * ( 1- p) ^ n-k
where   
k = number of successes in trials
n = is the number of independent trials
p = probability of success on each trial
I.
mean = np
where
n = total number of repetitions experiment is executed
p = success probability
mean = 60 * 0.3
= 18
II.
variance = npq
where
n = total number of repetitions experiment is executed
p = success probability
q = failure probability
variance = 60 * 0.3 * 0.7
= 12.6
III.
standard deviation = sqrt( variance ) = sqrt(12.6)
=3.5496

a.
the probability that X = 21
P( X = 21 ) = ( 60 21 ) * ( 0.3^21) * ( 1 - 0.3 )^39
= 0.076

Know the answer?
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Not the answer you're looking for?
Ask your own homework help question
Similar Questions
A sample of people were asked what was the usual way that they paid for alternative...
A sample of people were asked what was the usual way that they paid for alternative modes of public transportation Their responses are recorded in the following table: Taxi Bus Rail Uber TOTAL Cash 25 25 12 15 Credit 20 10 47 67 City Pass 15 32 33 0 TOTAL (1) (5 points) Complete the contingency table, filling in the column and row totals. (2) (5 points) What is the probability that a randomly selected respondent usually pays with credit...
What tools could AA leaders have used to increase their awareness of internal and external issues?...
What tools could AA leaders have used to increase their awareness of internal and external issues? ???ALASKA AIRLINES: NAVIGATING CHANGE In the autumn of 2007, Alaska Airlines executives adjourned at the end of a long and stressful day in the midst of a multi-day strategic planning session. Most headed outside to relax, unwind and enjoy a bonfire on the shore of Semiahmoo Spit, outside the meeting venue in Blaine, a seaport town in northwest Washington state. Meanwhile, several members of...
Delta airlines case study Global strategy. Describe the current global strategy and provide evidence about how...
Delta airlines case study Global strategy. Describe the current global strategy and provide evidence about how the firms resources incompetencies support the given pressures regarding costs and local responsiveness. Describe entry modes have they usually used, and whether they are appropriate for the given strategy. Any key issues in their global strategy? casestudy: Atlanta, June 17, 2014. Sea of Delta employees and their families swarmed between food trucks, amusement park booths, and entertainment venues that were scattered throughout what would...
What role could the governance of ethics have played if it had been in existence in...
What role could the governance of ethics have played if it had been in existence in the organization? Assess the leadership of Enron from an ethical perspective. THE FALL OF ENRON: A STAKEHOLDER FAILURE Once upon a time, there was a gleaming headquarters office tower in Houston, with a giant tilted "£"' in front, slowly revolving in the Texas sun. The Enron Corporation, which once ranked among the top Fortune 500 companies, collapsed in 2001 under a mountain of debt...
Discuss ethical issues that can be identified in this case and the mode of managing ethics...
Discuss ethical issues that can be identified in this case and the mode of managing ethics Enron finds itself in this case. How would you describe the ethical culture and levels of trust at Enron? Provide reasons for your assessment. THE FALL OF ENRON: A STAKEHOLDER FAILURE Once upon a time, there was a gleaming headquarters office tower in Houston, with a giant tilted "£"' in front, slowly revolving in the Texas sun. The Enron Corporation, which once ranked among...
ADVERTISEMENT
Need Online Homework Help?

Get Answers For Free
Most questions answered within 1 hours.

Ask a Question
ADVERTISEMENT