Problem 1. A local outfitter has thirty-two kayaks for weekend rental. On any given weekend, outfitter takes 40 reservations for the 32 kayaks, as he experiences "no-shows" - those people with reservations who do not pick up the kayak. He estimates the probability of any reservation being a "no-show" is 0.30. As a result, the outfitter faces the possibility of "overbooking". Any person making a reservation who finds himself or herself without a kayak is provided with a free rental the following weekend - a policy that the outfitter clearly states when a reservation is made. (There are no guarantees, so pick up your reserved kayak early!)

a) What probability distribution will model this situation best?

Binomial

Negative Binomial

Poisson

Hypergeometric

b) What is the probability the outfitter rents only 25 kayaks on a given weekend?

c) During a fully booked weekend what is the probability that every person showing up to pick up his or her reserved kayak will have a kayak for the weekend?

d) During a fully booked weekend what is the probability that the outfitter overbooks?

e) During a fully booked weekend how many kayaks should the outfitter expect to rent on the weekend?

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