David's gasoline station offers 4 cents off per gallon if the customer pays in cash and does not use a credit card. Past evidence indicates that 40% of all customers pay in cash. During a one-hour period twenty-five customers buy gasoline at this station.
-What is the probability that at least ten pay in cash?
A)0.416
B)0.575
C)0.586
D)0.425

Question

Quizplus · Accepted Answer

This is a binomial probability problem where n = 25, p = 0.4, and we want P(X ≥ 10). Using a binomial distribution table or calculator, the probability is approximately 0.575.

David's Gasoline Station Offers 4 Cents Off Per Gallon If