The Probability That a Car Will Have a Flat Tire

question 109

Multiple Choice

The probability that a car will have a flat tire while driving through a certain tunnel is 0.00008.Use the Poisson approximation to the binomial distribution to find the probability that among 16,000 cars passing through this tunnel,at least one will have a flat tire.

• A)0.7220
• B)0.6441
• C)0.2780
• D)1.6462
• E)0.3559

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Definitions:

Risk-Free Rate

The theoretical return on an investment with no risk of financial loss, often represented by the yield on government securities.

Financing

The act of providing funds for business activities, making purchases, or investing.