In Problem 2.28, suppose the castings are produced independently with the probability of an individual casting being good being equal to 0.88. Using the binomial distribution to generate the probabilities, determine the optimum number of castings to produce.

What is the probability of losing money on the transaction? [Note: Use Excel’s binomial distribution function to determine the probability of x good castings out of n produced, with the probability of a casting being good equal to p: =BINOMDIST (x, n, p, FALSE).]