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SELF-REVIEW 6-3

√ZY-Y

Page 187

Ninety-five percent of the employees at the J. M. Smucker Company plant on Laskey Road have their bimonthly wages

sent directly to their bank by electronic funds transfer. This is also called direct deposit. Suppose we select a random

sample of seven employees.

(a) Does this situation fit the assumptions of the binomial distribution?

(b) What is the probability that all seven employees use direct deposit?

(c) Use formula (6-3) to determine the exact probability that four of the seven sampled employees use direct

deposit./n

Fig: 1

Fig: 2