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his exercise illustrates that poor quality can affect schedules and costs. A manufacturing process has 130 customer orders to fill. Each order requires one component part that is purchased from a supplier. However, typically, 4% of the components are identified as defective, and the components can be assumed to be independent. (a) If the manufacturer stocks 130 components, what is the probability that the 130 orders can be filled without reordering components

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Answer: the probability that the 130 orders can be filled without reordering components is 0.004957

Explanation:

The probability that 130 orders can be filled without reordering components if the manufacturer stocks 130 component

so let x = 0

given that;

size n = 130

p = 4% = 0.04

the probability is

p(x=0) = [130] [0.04]^0 [1 - 0.04]^130-0

[ 0 ]

p(x=0) = [1] [1] [0.004957]

p(x=0) = 0.004957

therefore the probability that the 130 orders can be filled without reordering components is 0.004957

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