Consider a Poisson Distribution with an Average of 3 Customers

question 18

Multiple Choice

Consider a Poisson distribution with an average of 3 customers per minute at the local grocery store. If X = the number of arrivals per minute, find the probability of more than 7 customers arriving within a minute.

• A) .0216
• B) .0081
• C) .9881
• D) .0118

---

Definitions:

Participative Budgeting

A budgeting process where those who are impacted by a budget are involved in the development of the budget, promoting engagement and accountability.

Budgetary Achievement

The extent to which the budgeted targets or goals have been met or achieved during a specific period.

Direct Material

Raw materials that are directly incorporated into the final product in the manufacturing process.

Budgeted Production

The quantity of goods or services that a company plans to produce during a specific period, as determined during budgeting.