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Concept explainers
To explain how probability distribution can be used to make a business decision.
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Answer to Problem 18HP
Using probability distribution it can be decided that to stop the production of which product.
Explanation of Solution
Consider a company makes four types of product named A,B,C and D and the company is going to stop production of a product on the basis of no of defected item produced.
According to a report of company out of 100 defected items 40belongs to type A, 25 belongs to type B,10 belongs to type C and 25 belongs to type D.
Probability of stop the production of A
Probability of stop the production of B
Probability of stop the production of C
Probability of stop the production of D
Therefore,
Using probability distribution it can be decided that to stop the production of which product.
Chapter 12 Solutions
Algebra 1
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