An airline always overbooks if possible. A particular | StudySoup
Probability and Statistical Inference | 9th Edition | ISBN: 9780321923271 | Authors: Robert V. Hogg, Elliot Tanis, Dale Zimmerman

Table of Contents

1.1
Probability
1.2
Probability
1.3
Probability
1.4
Probability
1.5
Probability

2.1
Discrete Distributions
2.2
Discrete Distributions
2.3
Discrete Distributions
2.4
Discrete Distributions
2.5
Discrete Distributions
2.6
Discrete Distributions

3.1
Continuous Distributions
3.2
Continuous Distributions
3.3
Continuous Distributions
3.4
Continuous Distributions

4.1
Bivariate Distributions
4.2
Bivariate Distributions
4.3
Bivariate Distributions
4.4
Bivariate Distributions
4.5
Bivariate Distributions

5.1
Distributions of Functions of Random Variables
5.2
Distributions of Functions of Random Variables
5.3
Distributions of Functions of Random Variables
5.4
Distributions of Functions of Random Variables
5.5
Distributions of Functions of Random Variables
5.6
Distributions of Functions of Random Variables
5.7
Distributions of Functions of Random Variables
5.8
Distributions of Functions of Random Variables
5.9
Distributions of Functions of Random Variables

6.1
Point Estimation
6.2
Point Estimation
6.3
Point Estimation
6.4
Point Estimation
6.5
Point Estimation
6.6
Point Estimation
6.7
Point Estimation
6.8
Point Estimation
6.9
Point Estimation

7.1
Interval Estimation
7.2
Interval Estimation
7.3
Interval Estimation
7.4
Interval Estimation
7.5
Interval Estimation
7.6
Interval Estimation
7.7
Interval Estimation

8.1
Tests of Statistical Hypotheses
8.2
Tests of Statistical Hypotheses
8.3
Tests of Statistical Hypotheses
8.4
Tests of Statistical Hypotheses
8.5
Tests of Statistical Hypotheses
8.6
Tests of Statistical Hypotheses
8.7
Tests of Statistical Hypotheses

9.1
More Tests
9.2
More Tests
9.3
More Tests
9.4
More Tests
9.5
More Tests
9.6
More Tests
9.7
More Tests

Textbook Solutions for Probability and Statistical Inference

Chapter 2.6 Problem 11E

Question

Problem 11E

An airline always overbooks if possible. A particular plane has 95 seats on a flight in which a ticket sells for $300. The airline sells 100 such tickets for this flight.

(a) If the probability of an individual not showing up is 0.05, assuming independence, what is the probability that the airline can accommodate all the passengers who do show up?

(b) If the airline must return the $300 price plus a penalty of $400 to each passenger that cannot get on the flight, what is the expected payout (penalty plus ticket refund) that the airline will pay?

Solution

Answer :

Step 1 of 2 :

Given, An airline always overbooks if possible. A particular plane has 95 seat on a flight in which a ticket sells for $300. The airline sells 100 such tickets for this flight.

Let X be the number of  passengers do not show up

Let X follows binomial distribution

X~B(n,p)

P(x) = , x = 0, 1, 2, ……, n.

Where, n = 100 and p = 0.05

The claim is to find the probability that at least 5 passengers do not show up

P(X 5) = 1 - P(X4)

               = 1  - [ P(x = 0) + P(x = 1) + P(x = 2) + P(x = 3) + P(x = 4)]

               = 1  - (  +

                     +  +

                         

               =  1  -  0. 436

               = 0.564

the probability that at least 5 passengers do not show up is 0.564 (56.4%)


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full solution

Title Probability and Statistical Inference  9 
Author Robert V. Hogg, Elliot Tanis, Dale Zimmerman
ISBN 9780321923271

An airline always overbooks if possible. A particular

Chapter 2.6 textbook questions

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