An ATM Machine Provides Four Sequential Steps in Processing a Transaction

question 70

Essay

An ATM machine provides four sequential steps in processing a transaction. Over the last quarter, the reliability of each of these steps was 0.92, 0.97, 0.95, and 0.96. What is the overall reliability of the machine? How much can reliability be improved if the reliability of the fourth step is increased to 0.99?

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Definitions:

Payroll Tax

Taxes imposed on employers or employees, based on the salary paid to employees.

Federal Personal Income Tax

A tax levied by the U.S. government on the annual income of individuals, households, and trusts.

Wages

Compensation provided to employees for their work, often determined on a per hour, per day, or per task completed basis.

Social Security Tax

Taxes levied on both employers and employees to fund the Social Security program, which provides retirement, disability, and survivor benefits.