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Problem:
a. According to a Business week poll of 1035 adults, 40% of those surveyed agreed strongly with the proposition that business has too much power over American life (Business Week, September 2000). Assume this percentage is representative of the true population. In a sample of 10 individuals taken from the population, what is the probability that at least five of these individuals will feel that business has too much power over American life?
b. Suppose phone calls for assistance arrive at a rate of 48 per hour at the complaints desk of a company's after sale service department.
i. Compute the probabilities of receiving exactly 10 calls, 15 calls and 20 calls in 15 minutes.
ii. Suppose no calls are currently on hold. If the agent takes five minutes to complete the current call, how many callers do you expect to be waiting by that time? What is the probability that: (a) none and (b) exactly two will be waiting?
iii. If no calls are currently being processed, what is the probability that the agent can take three minutes for personal time without being interrupted by a call? What is the probability that he will receive only one call during these three minutes?
Kody Corporation uses a job-order costing system with a plantwide overhead rate based on machine-hours. At the beginning of the year, the company made the following estimates:
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