Question 955213
Musquodoboit World Airways operates a fleet of small passenger planes. Like most major airlines it has a problem with no-shows, people who make reservations, but don't show up for their flight or cancel at the
 last minute. Their no-show rate is 20%, comparable to the industry average. One type of aircraft used by MWA can accommodate up to 16 passengers.
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Binomial Problem with n = 16 and p(no show) = 0.2 ; p(show) = 0.8
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a) If they accept 16 reservations, what is the probability that the plane departs with every seat filled (0 noshows)?
P(x = 0) = 0.8^16 = 0.02815
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 b) As is common in the industry, MWA overbooks its flights. For this size aircraft, it accepts up to 17 reservations. Suppose that MWA has accepted 17 reservations for a particular flight. What is the probability that everyone who shows up will get a seat?
 P(at least 1 no-show out of 17) = 1 - P(0 no-shows out of 17)
= 1 - binompdf(17,0.2,0) = 0.9775 
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Cheers,
Stan H.