Question 4.5: Refer to Example 4.4. What is the probability that more than...

Let X represent the number of invoices in the sample that receive discounts. We wish to compute the probability P(X > 2). Table A.1 presents probabilities of the form P(X ≤ x). We note that P(X > 2) = 1 – P(X ≤ 2). Consulting the table with n = 14, p = 0.2, x = 2, we find that P(X ≤ 2) = 0.448. Therefore P(X > 2) = 1 – 0.448 = 0.552.