Hertz has a line of luxary cars named the 'Prestige Collection'. They have 20 cars in their fleet and accept 21 reservations each day. On a given day, 13 cars are already rented (thus not available for reserveration). The probability of a customer not arriving to get their reserved Prestige car is a 50% chance. Round to 4 decimal places, as needed. Find the probability that Hertz has to turn away customers because they overbooked.     Find the probability that Hertz is left with u

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Author:Amos Gilat
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Hertz has a line of luxary cars named the 'Prestige Collection'. They have 20 cars in their fleet and accept 21 reservations each day. On a given day, 13 cars are already rented (thus not available for reserveration). The probability of a customer not arriving to get their reserved Prestige car is a 50% chance.

Round to 4 decimal places, as needed.


Find the probability that Hertz has to turn away customers because they overbooked.    
Find the probability that Hertz is left with unused cars in their lot at the end of the day.    

What would be the ideal circumstance for Hertz to maximize their profit?:

  • P (X < x)
  • P (X = x)
  • P (X > x)
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