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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?
Mark-up
The amount added to the cost price of goods to cover overhead and profit; typically expressed as a percentage of the cost.
Unit Cost
Unit cost is the total expense incurred to produce, store, and sell one unit of a product or service, including both fixed and variable costs.
Operating Profit
Income from business operations after operating expenses are subtracted from gross profits, but before taxes and interest expenses.
Operating Expense
ongoing costs for running a product, business, or system.
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