CAIE S2 2017 November — Question 2

Exam BoardCAIE
ModuleS2 (Statistics 2)
Year2017
SessionNovember
TopicApproximating Binomial to Normal Distribution
TypeOverbooking probability problems

2 An airline has found that, on average, 1 in 100 passengers do not arrive for each flight, and that this occurs randomly. For one particular flight the airline always sells 403 seats. The plane only has room for 400 passengers, so the flight is overbooked if the number of passengers who do not arrive is less than 3 . Use a suitable approximation to find the probability that the flight is overbooked.