SOLUTION: A manufacturer of cotton pins knows that 5% of his products are defective. If he sells cotton pins in boxes of 100 and guarantees that not more than 10 pins will be defective, what

Question 1084249: A manufacturer of cotton pins knows that 5% of his products are defective. If he sells cotton pins in boxes of 100 and guarantees that not more than 10 pins will be defective, what is the approximate probability that a box will have the guaranteed quantity?
Answer by Boreal(15235) (Show Source): You can put this solution on YOUR website!
np=5, expected value
np(1-p)=5*0.95=4.75=variance
sd is sqrt(4.75)=2.18
The problem asks for the approximate probability.
an approximation using the continuity correction factor would be
between 5 and 10.5
z=(10.5-5)/2.18=+2.52
z for 5=0
want probability that z is not greater than +2.52
That is 0.0059
The approximate probability asked for is 0.9941
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