16% of the Employees of a Certain Company Cycle to Work

question 28

Essay

16% of the employees of a certain company cycle to work. Three employees are selected at random from the company and asked whether or not they cycle to work. Considering a success to be "cycles to work", formulate the process of observing whether each of the three employees cycles to work as a sequence of three Bernoulli trials. Complete the table below by showing each possible outcome together with its probability. Display the probabilities to three decimal places. List the outcomes in which exactly one of the three employees cycles to work. Without using the binomial probability formula, find the probability that exactly one of the three employees cycles to work. $$\begin{array} { r | r } \text { Outcome } & \text { Probability } \\ \hline \text { sss } & ( 0.16 ) ( 0.16 ) ( 0.16 ) = 0.004 \end{array}$$

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Definitions:

Marginal Revenue

The profit derived from the sale of an additional item of a product or service.

Cheese

A dairy product made from curdled or cultured milk that comes in various flavors and textures.

Marginal Revenue Curve

A graphical representation that shows how marginal revenue varies as the quantity of the product sold changes.

Demand Curve

A graph showing the relationship between the price of a good and the quantity demanded, typically downward-sloping, indicating that demand decreases as price increases.