Airlines like to overbook their flights (this is a vibrant area of research called yield
management). It is estimated that 10% of the people who book their flight do not show up.
Hint: Define X = number of people who show up for the flight
a. If a small plane holds 20 people, compute the probability that there will not be
enough seats for all the booked passengers, if the airline books B people, where B
= 19,20, 21, 22.
b. If there are 10 identical small plane flights, each booked to 22,
then find the probability that zero or one flights are overbooked?

Posted Date: 11/7/2016 10:40:00 PM | Location : Oman

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