Air-USA has a policy of booking as many as 26 persons on an airplane that can seat only 24.
(Past studies have revealed that only 89% of the booked passengers actually arrive for the flight.)
Find the probability that if Air-USA books 26 persons, not enough seats will be available.
prob =
Is this probability low enough so that overbooking is not a real concern for passengers if you define unusual as 5% or less?
What about defining unusual as 10% or less?
Find the probability that if Air-USA books 26 persons, not enough seats will be available.
prob =
Is this probability low enough so that overbooking is not a real concern for passengers if you define unusual as 5% or less?
What about defining unusual as 10% or less?