Question

An airline, believing that 5% of passengers fail to show for flights, overbooks (sells more tickets than there are seats). Suppose that for a particular flight involving a jumbo-jet with 267 seats, the airline sells 278 tickets.
Question 1. What is the expected number of ticket holders that will fail to show for the flight? (Use 2 decimal place in your answer.)

Question 2. What is the probability that the airline will not have enough seats for all the ticket holders who show for the flight?

Answer 1

Answer:

Q1. 13 passengers

Q2. 0.1756 (approx. 0.18)

Step-by-step explanation:

Q1. 267 seats are available on the plane

5% is expected to fail to show up

Hence, no of passengers expected not to show up = 267 * 0.05

= 13.35 (approx 13 passengers)

Q2. See working in the attachment as I had to explain it step by step.