Hi guys, if you can help me with this problem it would be of great help(adsbygoogle = window.adsbygoogle || []).push({});

1) Pythag-Air-US Airlines has determined that 5% of its customers do not show up for their flights. If a passenger is bumped off a flight because of overbooking, the airline pays the customer $200. What is the expected payout by the airline, if it overbooks a 240 seat airplane by 5%?

PS: The answer is 0. Can you please explain your reasoning because I am completely lost in this one

Thanks a lot

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# Homework Help: Binomial Distribution (Statistics)

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