Question 1118074
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Industry standards suggest that 16% of new vehicles require warranty service within the first year. Jones Nissan, s
old 8 Nissans yesterday. (Round the Mean answer to 2 decimal places and the other answers to 4 decimal places.)


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a.  What is the probability that none of these vehicles requires warranty service?

 
    Probability  = {{{(1-0.16)^8}}} = {{{0.84^8}}} = 0.2479 = 24.79%.

 
b.  What is the probability that exactly one of these vehicles requires warranty service?

 
     Probability that exactly one of the 8 cars requires service, while 7 others do not = {{{8*0.16*0.84^7}}} = 0.3777 = 33.77%.

 
c.   Determine the probability that exactly two of these vehicles require warranty service.

 
     Probability = {{{C[8]^2*0.16^2*0.84^6}}} = {{{((8*7)/(1*2))*0.16^2*0.84^6}}} = 0.2518 = 25.18%.	 

 
d.   What is the probability that less than three of these vehicles require warranty service?

 
     Probability = {{{0.84^8 + C[8]^1*0.16*0.84^7 + C[8]^2*0.16^2*0.84^6}}} = 0.2479 + 0.3777 + 0.2518 = 0.8774 = 87.74%.	 

 
e.   Compute the mean and standard deviation of this probability distribution.

 
  Mean  µ = 	 
  Standard deviation &#963; = 	 
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