The Average Life Expectancy of Computers Produced by Ahmadi, Inc

question 62

Short Answer

The average life expectancy of computers produced by Ahmadi, Inc. is 6 years with a standard deviation of 10 months. Assume that the lives of computers are normally distributed. Suggestion: For this problem, convert ALL of the units to months.
a. What is the probability that a randomly selected computer will have a life expectancy of at least 7 years?
b. Computers that fail in less than 5 1/2 years will be replaced free of charge. What percentage
of computers are expected to be replaced free of charge?
c. What are the minimum and the maximum life expectancy of the middle 95% of the computers'
lives? Give your answers in months and do not round your answers.
d. The company is expecting that only 104 of this year's production will fail in less than 3 years and 8 months. How many computers were produced this year?

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Definitions:

Developing Countries

Countries with a lower level of economic development, characterized by lower industrialization, lower income per capita, and often higher levels of poverty compared to developed countries.

Duties and Tariffs

Taxes imposed by governments on the import and export of goods.

Facilities

Physical buildings and infrastructures that are used for the production, handling, or storage of goods.

Supply Chain

A constellation of groups, individuals, activities, information, and supplies engaged in the process of delivering a product or service from the producer to the purchaser.