Question
Suppose a tire manufacturer wants to set a mileage guarantee on its new XB 70 tire. Tests revealed that the tire's mileage is normally distributed
Suppose a tire manufacturer wants to set a mileage guarantee on its new XB 70 tire. Tests revealed that the tire's mileage is normally distributed with a mean of 48,700 miles and a standard deviation of 2,050 miles. The manufacturer wants to set the guaranteed mileage so that no more than 5% of the tires will have to be replaced. What guaranteed mileage should the manufacturer announce?
a. 45,318
b. 33,760
c. 50,421
d. 41,722
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Probability and Stochastic Processes A Friendly Introduction for Electrical and Computer Engineers
Authors: Roy D. Yates, David J. Goodman
3rd edition
1118324560, 978-1118324561
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