Internet Service Providers (ISP) Need to Resolve Customer Problems as Quickly

question 21

Essay

Internet service providers (ISP) need to resolve customer problems as quickly as
possible. For one ISP, past data indicate that the likelihood is .80 that customer calls
regarding Internet service interruptions are resolved within one hour. Out of the next 10
customer calls about interrupted service,
a. What is the probability that exactly 7 will be resolved within one hour?
b. What is the probability that at least 7 will be resolved within one hour?
c. How many customers would be expected to have their service problems resolved
within one hour?

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Definitions:

Satisfaction

The fulfillment or gratification of a desire, need, or appetite; a measure of utilities or happiness obtained from consuming goods or services.

Marginal Rate

The rate at which something changes as the amount of that something increases or decreases, often used in the context of tax, referring to the rate applied to the last dollar earned.

Indifference Curve

A graph showing combinations of goods between which a consumer is indifferent, reflecting their preferences and trade-offs.

Total Utility

The overall satisfaction or benefit that a consumer derives from consuming a certain quantity of goods or services.