A Manufacturing Company Has 5 Identical Machines That Produce Nails

question 53

Short Answer

A manufacturing company has 5 identical machines that produce nails. The probability that a machine will break down on any given day is 0.1. Define a random variable x to be the number of machines that will break down in a day.
a.What is the appropriate probability distribution for x? Explain how x satisfies the properties of the distribution.
b.Compute the probability that 4 machines will break down.
c.Compute the probability that at least 4 machines will break down.
d.What is the expected number of machines that will break down in a day?
e.What is the variance of the number of machines that will break down in a day?

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Definitions:

Competitors Analysis

The evaluation of key competitors to assess their strengths, weaknesses, opportunities, and threats in comparison to one's own business.

Horizontal Analysis

A financial analysis technique that compares account balances and ratios over different periods to identify trends and changes.

Intracompany Comparison

The process of comparing similar financial information within the same company over different periods or among different departments.

Executive Summary

A concise document that summarizes the key points of a longer report or proposal, typically included at the beginning.