The company is celebrating the 300th national day of Norway and wants to include monetary prizes inside the potato chips bags sold at the oldest branch of a famous Norwegian supermarket. The bags will have a unique new design that celebrates the occasion. Any bag sold, regardless of whether it contain a prize or not, is immediately replaced with another one on the shelf so that the number of potato chips bags on display is always the same. The chips aisle is maintained so that at any time, 3 bags have a prize inside them. Each of those bags will have a check with a prize money of 10,000 euros inside it. What is the number of bags the company should make available on display for sale at a time to ensure that 40% of the time, the first bag with the prize is at least the 5000th bag sold?

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Confidence Intervals

When we calculate intervals in probability and statistics, it can be simply termed as finding out a confidence interval. The confidence interval is usually calculated from the data set which is observed. The value of the parameter that needs to be calculated is present here only.