Probability using Binomial distribution.
Trevor is interested in purchasing the local hardware sporting goods store in the small town of Dove Creek, Montana. After examining accounting records for the past several years, he found that the stier has been grossing over $850 per day about 60% of the business day it is open. Estimate the probability that the store will gross over $850.
a. at least 3 out of 5 business days
b. at least 6 out of 10 business days
c. fewer than 5 out of 10 business days
d. fewer than 6 out of the next 20 business days. If this actually happened, might it shake your confidence in the statement p = 0.60? Make clear.
e. more than 17 out of the next 20 business days. If this actually happened, might you suspect that p is greater than 0.60? Explain.