Probability

For any given flight, an airline tries to sell as many tickets as possible. Suppose that on average, 10% of ticket holders fail to show up, all independent of one another. Knowing this, an airline will sell more tickets than there are seats available (i.e., overbook the flight) and hope that there is a sufficient number of ticket holders who do not show up to compensate for its overbooking. Using the Central Limit Theorem, determine n , the maximum number of tickets an airline should sell on a flight with 300 seats so that it can be approximately 99% confident that all ticket holders who do show up will be able to board the plane. Use the de Moivre-Laplace 1/2 -correction in your calculations. Hint: You may have to solve numerically a quadratic equation.

  1. 👍 0
  2. 👎 0
  3. 👁 856
  1. R Even NBC NBC CFC CFC h ndBBC

    1. 👍 1
    2. 👎 0
  2. 320

    1. 👍 1
    2. 👎 1
  3. It's not 320..

    1. 👍 1
    2. 👎 0

Respond to this Question

First Name

Your Response

Similar Questions

  1. probability

    For any given flight, an airline tries to sell as many tickets as possible. Suppose that on average, 10% of ticket holders fail to show up, all independent of one another. Knowing this, an airline will sell more tickets than there

  2. Math

    For any given flight, an airline tries to sell as many tickets as possible. Suppose that on average, 20% of ticket holders fail to show up, all independent of one another. Knowing this, an airline will sell more tickets than there

  3. math

    You and your friend are selling tickets to a charity event. You sell 7 adult tickets and 16 student tickets for $120. Your friend sells 13 adult tickets and 9 student tickets for $140. What is the cost of a student ticket?

  4. math

    a 6,000 seat theater has tickets for sale at $26 and $40 . How many tickets must be sold at each price for a sell out performance to generate a revenue of $178400?

  1. calculus

    With x people on board, a South African airline makes a profit of (1104 − 3 x) rands per person for a specific flight. A. How many people would the airline prefer to have on board? Answer: x= B. What is the maximum number of

  2. math

    Suppose that there are two types of tickets to a show: advance and same-day. Advance tickets cost $40 and same-day tickets cost $20 . For one performance, there were 55 tickets sold in all, and the total amount paid for them was

  3. algebra

    2) A high school drama club is putting on their annual theater production. There is a maximum of 800 tickets for the show. The costs of the tickets are $6 before the day of the show and $9 on the day of the show. To meet the

  4. Probability #2

    Baggage fees. An airline charges the following baggage fees: $25 for the rst bag and $35 for the second. Suppose 54% of passengers have no checked luggage, 34% have one piece of checked luggage and 12% have two pieces. We suppose

  1. Math

    Karen sells tickets a movie theater. Last night she sold 128 tickets for a total of $1108. Adult's tickets cost $10 and children's tickets cost $6 how many of eac h kind of ticket did karen sell?

  2. Statistics

    Allegiant Airlines charges a mean base fare of $89. In addition, the airline charges for making a reservation on its website, checking bags, and inflight beverages. These additional charges average $35 per passenger. Suppose a

  3. Probability

    Airline overbooking For any given flight, an airline tries to sell as many tickets as possible. Suppose that on average, 20% of ticket holders fail to show up, all independent of one another. Knowing this, an airline will sell

  4. Math

    Central Middle School sold 50 tickets for one night of the school play. Student tickets sold for $2 each and adult tickets sold for $3 each. They took in $135. How many of each type of ticket did they sell?

You can view more similar questions or ask a new question.