Over a period of 15 years, the attrition rate in a company has been observed to be an average 10% every year. Find the probability that exactly 5 employees chosen randomly from a team of 40 will quit in the year ahead.
blah blah blah blah blah blah blah blah the correct answer is 0.165
Answer: Probability that exactly 5 employees chosen randomly from a team of 40 will quit in the year ahead is 0.165.
Step-by-step explanation:
Since we have given that
Total number of employees = 40
Number of employees are going to quit in the year ahead = 5
Rate of attrition = 10%
We will use "Binomial distribution":
Here, n = 40
x= 5
p = 0.1
q = 1-0.1=0.9
\(P(X=x)=^nC_xp^xq^{n-x}\)
\(P(X=5)=^{40}C_5(0.1)^5(0.9)^{35}\\\\P(X=5)=0.165\)
Hence, Probability that exactly 5 employees chosen randomly from a team of 40 will quit in the year ahead is 0.165.