Question
(a) Online orders for golf bags arrive to Par Inc. according to a Poisson process with rate = 15 bags per hour. Each order contributes
(a) Online orders for golf bags arrive to Par Inc. according to a Poisson process with rate = 15 bags per hour. Each order contributes $90 of profit. What is the probability that within the next thirty minutes Par Inc. will realize at least $720 of profit contribution due to orders of deluxe golf bags?
(b) Maxwell needs to arrive to work by 9:00am every morning. In the past year he has observed that his driving time from home to work is normally distributed with = 30 minutes and = 5 minutes. According to Maxwell's data, what is the latest he can leave for work while ensuring that he is late only 2% of the time?
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