Dell Computers Receives Large Shipments of Microprocessors from Intel Corp

question 113

Multiple Choice

Dell Computers receives large shipments of microprocessors from Intel Corp. It must try to ensure the proportion of microprocessors that are defective is small. Suppose Dell decides to test five microprocessors out of a shipment of thousands of these microprocessors. Suppose that if at least one of the microprocessors is defective, the shipment is returned. If Intel Corp.'s shipment contains 10% defective microprocessors, calculate the probability the entire shipment will be returned.

• A) 0.4980
• B) 0.4209
• C) 0.4095
• D) 0.4550

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Definitions:

Frequent-Flyer Programs

Loyalty programs offered by airlines to reward customers for their repeat business with benefits such as free flights.

Same Airline

Referring to flight bookings, services, or policies that apply when all legs of a journey are operated by the same airline company.

Customer Lifetime Value

The total worth to a business of a customer over the whole period of their relationship.

Usage Rate

The frequency at which a consumer uses a product or service within a given time frame.