Customers Arrive According to a Poisson Distribution

question 6

Multiple Choice

Customers arrive according to a Poisson distribution. The average number of customer arrivals per hour is six. The probability that four customers will arrive in the next three hours is:

• A) less than or equal to 0.01.
• B) greater than 0.01 but less than or equal to 0.02.
• C) greater than 0.02 but less than or equal to 0.03.
• D) greater than 0.03.

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Definitions:

Risk Reduction

Strategies or actions implemented to minimize the probability or impact of negative events or losses.

Market for Risk

A financial market where individuals and institutions trade financial instruments to manage risk exposure.

Risk Reduction

Strategies or actions taken to minimize the potential for loss or harm in investment, business operations, or other areas of concern.

Probability

The probability or possibility of a particular event happening.