Your firm uses a proprietary forecasting model and assumes that the random variables they used follow the Poisson distribution. You are trying to assess the probability of the number of defects in an assembly production process for a given company. Assume that there is a 0.005 probability of a defect for every production run. Which of the choices below is the probability of 7 defects in 1,000 production runs?
Your firm uses a proprietary forecasting model and assumes that the random variables they used follow the Poisson distribution. You are trying to assess the probability of the number of defects in an assembly production process for a given company. Assume that there is a 0.005 probability of a defect for every production run. Which of the choices below is the probability of 7 defects in 1,000 production runs? A.3.0%; B.4.4%; C.8.6%; D.10.4%