) What is the probability that there are exactly 2 defective phone batteries in the sample? ) What is the probability that all phone batteries in the sample are in good condition? )"SmartB" needs to pay a large amount of penalty if there are at least 4 defective phone batteries found in the sample. What is the chance that "SmartB" has to pay this penalty?

College Algebra
10th Edition
ISBN:9781337282291
Author:Ron Larson
Publisher:Ron Larson
Chapter8: Sequences, Series,and Probability
Section8.7: Probability
Problem 11ECP: A manufacturer has determined that a machine averages one faulty unit for every 500 it produces....
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'SmartB" owns a phone battery assembly line which provide phone battery to a mobile company. It is known
hat 4% of the batteries produced by "SmartB" are defective. A random sample of 28 phone batteries is
selected from the assembly line and will be sent for inspection.
a) What is the probability that there are exactly 2 defective phone batteries in the sample?
b) What is the probability that all phone batteries in the sample are in good condition?
c) "SmartB" needs to pay a large amount of penalty if there are at least 4 defective phone batteries found in
the sample. What is the chance that "SmartB" has to pay
this penalty?
d) The production cost of a phone battery is $100 and the selling price to the mobile company is $500.
When the phone battery is found defective within a year, it could be sent back for repairment, which costs
"SmartB" $70. Suppose all defective phone battery would be reported by the customer within a year
and would be sent back for repairment. Present the probability distribution function of the profit gained
by "SmartB" from a phone battery. (Remark: Profit = revenue – cost)
Transcribed Image Text:'SmartB" owns a phone battery assembly line which provide phone battery to a mobile company. It is known hat 4% of the batteries produced by "SmartB" are defective. A random sample of 28 phone batteries is selected from the assembly line and will be sent for inspection. a) What is the probability that there are exactly 2 defective phone batteries in the sample? b) What is the probability that all phone batteries in the sample are in good condition? c) "SmartB" needs to pay a large amount of penalty if there are at least 4 defective phone batteries found in the sample. What is the chance that "SmartB" has to pay this penalty? d) The production cost of a phone battery is $100 and the selling price to the mobile company is $500. When the phone battery is found defective within a year, it could be sent back for repairment, which costs "SmartB" $70. Suppose all defective phone battery would be reported by the customer within a year and would be sent back for repairment. Present the probability distribution function of the profit gained by "SmartB" from a phone battery. (Remark: Profit = revenue – cost)
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