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

The problem can be modeled using a binomial distribution with n = 25 and p = 0.4. The probability of at least ten customers paying in cash is calculated as 1 minus the probability of fewer than ten customers paying in cash. Using binomial probability tables or software, this probability is approximately 0.575.

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