Question

Upon studying low bids for shipping contracts, a microcomputer manufacturing company finds that intrastate contracts have low bids that are uniformly distributed between 22 and 31, in units of thousands of dollars. Find the probability that the low bid on the next intrastate shipping contract is in excess of $28,000.

Answer 1

0.111

Explanation:

It is given that a manufacturing company found out that the intrastate contracts having a low bid which are
`$\text{uniformly}$` distributed between
`$22$` and
`$31$`
`$\text{units of thousands}$` of dollars.

Therefore, the probability that a low bid on the
`$\text{next intrastate}$` shipping contract is in excess of
`$\$ 28,000$` is given by :

P(x ≥ 30) = 1 - P(X ≤ 30)

`$=1-(30-22)/(31-22)$`

`$=1-(8)/(9)$`

`$=(1)/(9)$`

= 0.111