A large mail house which mails such items as catalogues, magazines, and other bulk mailings guarantees that there will be no more than a 3 error rate on its mailing labels. A customer who contracted a mailing to 190,000 individuals experienced a return of 5,900 items, which had incorrect addresses. Which of the following statements is true?
a. There is a 3 chance of an incorrect return.
b. There is a 0.0054 probability that a return of 5900 or more incorrect addresses could occur if the true error rate is 3.
c. There is a 0.4964 probability that a return of 5900 or more incorrect addresses could occur if the true error rate is 3.
d. There is a 2.69 percent possibility that a return of 5900 incorrect addresses could occur if the true error rate is 3.
e. None of these statements are correct.
Question 2
The average sales per customer at a home improvement store during the past year is 75 with a standard deviation of 12 . The probability that the average sales per customer from a sample of 36 customers, taken at random from this population, exceeds 78 is:
a. 0.4332.
b. 0.0668.
c. 0.0987.
d. 0.9013.
e. 0.5000
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