What is the probability that a shipment will be rejected

Assignment Help Portfolio Management
Reference no: EM132232629

Question: ABC Inc. has a policy where they will reject a shipment of parts if any parts are found defective in a random sample of 5 parts. The supplier has a long-term defective rate for parts of 8.7%. What is the probability that a shipment will be rejected after a given sample of parts is checked?

Round to four decimal places.

Reference no: EM132232629

Questions Cloud

The natural step to examine an everyday action : Use the four system conditions of The Natural Step to examine an everyday action.
What is the coefficient of variation for the new process : Assignment - LINEAR REGRESSION AND THE CORRELATION COEFFICIENT. What is the coefficient of variation for the new process
Differences between consumers and industrial marketing : Explain the main differences between consumers and Industrial Marketing.
What are important verbal and non-verbal characteristics : What are important verbal and non-verbal characteristics and variables of communication in the USA?
What is the probability that a shipment will be rejected : The supplier has a long-term defective rate for parts of 8.7%. What is the probability that a shipment will be rejected after a given sample of parts is checked
Prepare hypothetical crisis communication plan : Prepare hypothetical Crisis Communication Plan on behalf of a designated organization.
Suppose x is a real number : Suppose x is a real number. Prove that if x ? 2, then there is a real number y such that x = (2y + 1) / (y - 1).
Find the upper and lower limits : A sample of 36 data points has a mean of 50 with a standard deviation of 5. According to Chebychev's rule find the upper and lower limits for 88.9% of the data.
Calculation of piecework award for garment worker : Illustrates the calculation of a piecework award for a garment worker who has completed two hours of service.

Reviews

Write a Review

Portfolio Management Questions & Answers

  Evaluate the concept of the efficient frontier

Evaluate the concept of the efficient frontier and how you will use it to determine an asset portfolio for a specified investor.

  Calculate the required rate of return

Once you have identified the 3 stocks, you need to find the current yield of the 10-year treasury bond and calculate the required rate of return for each of them. Show all of your work so that you can explain to Alice how risk affects your expecta..

  Implied interest rates in europe and the u.s.

What is the implied interest rate for the first six months and what is the implied forward rate six months hence - what are the implied interest rates in Europe and the U.S.?

  Describe steps involved in applying binomial option pricing

Briefly describe the steps involved in applying binomial option pricing model to value the call option in this situation. What is this fair market value for the call option under these conditions?

  Which portfolios lie on the efficient frontier

Portfolios A through J, which are listed in the following table along with their returns (rp) and risk (measured by the standard deviation, sp).

  Problemthe following information is given about options on

problemthe following information is given about options on the stock of a certain companys0 20 x 20 r 5 c.c. t 0.5

  1an insurance company must make a payment of 19487 in seven

1.an insurance company must make a payment of 19487 in seven years. the market interest rate is 6. the companys

  What are trade-offs involved when constructing a portfolio

Describe the difference between a price momentum strategy and an earnings momentum strategy.  What are the trade-offs involved when constructing a portfolio using a full replication versus a sampling method?

  1 is your nbspportfolio balancednbsp justify your answer2

1. is your nbspportfolio balanced?nbsp justify your answer.2. what changes would you make if any?a high portfolio beta

  How did your stocks perform over the past five years

How did your stocks perform over the past five years? How volatile were your stocks? How did the market do over the past 5 years? How volatile was the market?

  Calculate the overall return to the benchmark portfolio

Calculate (1) the overall return to the benchmark portfolio, (2) the overall return to Manager A's actual portfolio, and (3) the overall return to Manager B's actual portfolio.

  Explanation of an underlying investment philosophy

An explanation of an underlying investment philosophy and strategy for the development of the portfolio, which is consistent with the indicated requirements of the client.

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd