The Zagat Restaurant Survey provides food, decor, and service ratings for some of the top restaurants across the United States. For 15 restaurants located Boston, the average price of a dinner, including one drink and tip, was $48.60. You are leaving on a business trip to Boston and will eat dinner at three of th restaurants. Your company will reimburse you for a maximum of $50 per dinner. Business associates familiar with these restaurants have told you that the cost at one-third of these restaurants will exceed $50. Suppose that you randomly select three of these restaurants for dinner. a. What is the probability that none of the meals will exceed the cost covered by your company (to 4 decimals)? b. What is the probability that one of the meals will exceed the cost covered by your company (to 4 decimals)? c. What is the probability that two of the meals will exceed the cost covered by your company (to 4 decimals)? d. What is the probability that all three of the meals will exceed the cost covered by your company (to 4 decimals)?
The Zagat Restaurant Survey provides food, decor, and service ratings for some of the top restaurants across the United States. For 15 restaurants located Boston, the average price of a dinner, including one drink and tip, was $48.60. You are leaving on a business trip to Boston and will eat dinner at three of th restaurants. Your company will reimburse you for a maximum of $50 per dinner. Business associates familiar with these restaurants have told you that the cost at one-third of these restaurants will exceed $50. Suppose that you randomly select three of these restaurants for dinner. a. What is the probability that none of the meals will exceed the cost covered by your company (to 4 decimals)? b. What is the probability that one of the meals will exceed the cost covered by your company (to 4 decimals)? c. What is the probability that two of the meals will exceed the cost covered by your company (to 4 decimals)? d. What is the probability that all three of the meals will exceed the cost covered by your company (to 4 decimals)?
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
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Transcribed Image Text:The Zagat Restaurant Survey provides food, decor, and service ratings for some of the top restaurants across the United States. For 15 restaurants located in
Boston, the average price of a dinner, including one drink and tip, was $48.60. You are leaving on a business trip to Boston and will eat dinner at three of these
restaurants. Your company will reimburse you for a maximum of $50 per dinner. Business associates familiar with these restaurants have told you that the mea
cost at one-third of these restaurants will exceed $50. Suppose that you randomly select three of these restaurants for dinner.
a. What is the probability that none of the meals will exceed the cost covered by your company (to 4 decimals)?
b. What is the probability that one of the meals will exceed the cost covered by your company (to 4 decimals)?
c. What is the probability that two of the meals will exceed the cost covered by your company (to 4 decimals)?
d. What is the probability that all three of the meals will exceed the cost covered by your company (to 4 decimals)?
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