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Your flight has 250 seats from Dallas to Houston. The number of people who book tickets but does not show up is normally distributed with

Your flight has 250 seats from Dallas to Houston. The number of people who book tickets but does not show up is normally distributed with mean 40 and standard deviation of 10. The normal ticket price is $100. Compensation for each passenger denied boarding includes $200 for arrangement for travel on another flight, $100 for free air ticket, and $100 for lost of good will.

If the manager decides to allow 280 reservations, what is the probability that the firm will need to compensate their customers? ( Choose the closest number)

17%

11%

19%

15%

13%

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