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Probability of an accident occurring

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Reference no: EM13944400

The average highway travel time from Waterloo to Toronto on accident free days (i.e., only regular volume of traffic) is around 90 minutes with a standard deviation of 10 minutes. The occurrence of an accident, however, results in an average delay of 90 minutes with a standard deviation of 20 minutes. The probability of an accident occurring on any given day has been estimated as 0.05. 

Assuming the accident free travel time and accident caused delay time both follow the Normal distribution, use Monte Carlo simulation to estimate, for any given day, the 

a) average travel time to Toronto. 

b) probability that a trip to Toronto will take more than 3 hours.

Reference no: EM13944400

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