Hey guys, I've been working on an Actex problem on Binomial Distributions.
Here's the problem:
A company establishes a fund of 120 from which it wants to pay an amount, C, to any of its 20 employees who achieve a high performance level during the coming year. Each employee has a 2% chance of achieving a high performance level during the coming year, independent of any other employee. Determine the maximum value of C for which the probability is less than 1% that the fund will be inadequate to cover all payments for high performance.
Does anybody know how to do this question? I don't quite understand the solution that it gave me.
Thanks!
Here's the problem:
A company establishes a fund of 120 from which it wants to pay an amount, C, to any of its 20 employees who achieve a high performance level during the coming year. Each employee has a 2% chance of achieving a high performance level during the coming year, independent of any other employee. Determine the maximum value of C for which the probability is less than 1% that the fund will be inadequate to cover all payments for high performance.
Does anybody know how to do this question? I don't quite understand the solution that it gave me.
Thanks!
Binomial Distribution Question
0 commentaires:
Enregistrer un commentaire