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A IT Distribution Company in Hong Kong Gives a Bonus

question 7

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A IT distribution company in Hong Kong gives a bonus to salespeople that generate more than HK$180,000 in a single day. On average this happens 5% of the time. If the company employs 20 salespeople, what is the probability of paying exactly 1 bonus on any particular day (give as a percentage, 0 decimal places) ?


Definitions:

Cash Flow Estimates

Projections or forecasts of a company's future financial liquidity over a specific period of time, including incoming and outgoing cash.

New Ventures

Businesses or projects initiated by entrepreneurs, often characterized by innovation, high risks, and high rewards.

Opportunity Costs

The cost of forgoing the next best alternative when making a decision, representing the benefits one could have received by taking an alternative action.

Sunk Costs

Expenses that have been spent and cannot be retrieved.

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