A package delivery service claims that no more than 5 percen

A package delivery service claims that no more than 5 percent of all packages arrive at the address late. Assuming that the conditions for the binomial hold, if a sample of size 10 packages is randomly selected and the 5 percent rate holds, what is the probability that more than 2 packages will be delivered late?

Solution

Probability = 10C2 * ( 0.05)² * (0.95)⁸

                          = 0.0746 Answer