2.38 Baggage fees: An airline charges the following baggage fees: $25 for the first bag and...

2.38 Baggage fees: An airline charges the following baggage fees: $25 for the first bag and an extra $35 for the second. Suppose 54% of passengers have no checked luggage, 34% have only one piece of checked luggage and 12% have two pieces. We suppose a negligible portion of people check more than two bags.

a) The average baggage-related revenue per passenger is: $  (please round to the nearest cent)
b) The standard deviation of baggage-related revenue is: $  (please round to the nearest cent)
c) About how much revenue should the airline expect for a flight of 120 passengers? $  (please round to the nearest dollar)

Expert Solution

Solution:

milcah answered 1 day ago

An airline charges the following baggage fees: $25 for the first bag and $35 for the...

An airline charges the following baggage fees: $25 for the first bag and $35 for the second. Suppose 54% of passengers have no checked luggage, 34% have one piece of checked luggage and 12% have two pieces. Suppose that a negligible portion of people check more than two bags. a) Build a probability model, compute the average revenue per passenger, and compute the corresponding standard deviation. b ) About how much revenue should the airline expect for a flight of...

Part 1. 3.13 Overweight baggage: Suppose weights of the checked baggage of airline passengers follow a...

Part 1. 3.13 Overweight baggage: Suppose weights of the checked baggage of airline passengers follow a nearly normal distribution with mean 44.8 pounds and standard deviation 3.3 pounds. Most airlines charge a fee for baggage that weigh in excess of 50 pounds. Determine what percent of airline passengers incur this fee. (Round to the nearest percent.) __________. Part 2. There are two distributions for GRE scores based on the two parts of the exam. For the verbal part of the...

1. An airline is interested in knowing the average weight of the carry-on baggage for its...

1. An airline is interested in knowing the average weight of the carry-on baggage for its customers. Historically, the average weight for carry-on baggage was 15.5 pounds (lbs.), but the airline believes that the average has since increased. A sample of 30 customers was gathered, and it was determined that the average weight for the carry-on baggage for these customers was 16.8 lbs. with a standard deviation of 4.1 lbs. a.If you were to create a confidence interval for the...

An airline charges $2,100 for a first-class roundtrip ticket from Boston to Los Angeles

An airline charges $2,100 for a first-class roundtrip ticket from Boston to Los Angeles,and charges $370 for an economy-class roundtrip ticket on the same route. The airlineobserves that every seat in economy class is full, and that much of the first-class cabin isempty. Sketch a graph that represents the supply and demand for first-class roundtriptickets in this market. Briefly explain why this first-class ticket market is not inequilibrium when the daily price of a ticket is $2,100. On your graph,...

Consider the baggage check-in of a small airline. Check-in data indicate that from 9 a.m. to...

Consider the baggage check-in of a small airline. Check-in data indicate that from 9 a.m. to 10 a.m., 255 passengers checked in. Moreover, based on counting the number of passengers waiting in line, airport management found that the average number of passengers waiting for check-in was 35. How long did the average passenger have to wait in line?

question1: An airline charges $2,100 for a first-class roundtrip ticket from Boston to Los Angeles and...

question1: An airline charges $2,100 for a first-class roundtrip ticket from Boston to Los Angeles and charges $370 for an economy-class roundtrip ticket on the same route. The airline observes that every seat in economy class is full and that much of the first-class cabin is empty. Sketch a graph that represents the supply and demand for first-class roundtrip tickets in this market. Briefly explain why this first-class ticket market is not in equilibrium when the daily price of a...

A bank charges $10 per month plus the following check fees for a commercial checking account:...

A bank charges $10 per month plus the following check fees for a commercial checking account: $.10 each for less than 20 checks $.08 each for 20 - 39 checks $.06 each for 40 - 59 checks $.04 each for 60 or more checks Write a program that prompts the user for the number of checks written each month. Then compute and display the bank’s total service fees for the month. Make sure the output displays with a $ and...

BOZ abolishes unwarranted bank charges The Bank of Zambia Prohibition Against Unwarranted Bank Charges and Fees...

BOZ abolishes unwarranted bank charges The Bank of Zambia Prohibition Against Unwarranted Bank Charges and Fees of 2018 has now been promulgated into law (Government Gazette number 6693) and Bank of Zambia. This is according to a Circular issued by Deputy Governor-Operations Dr Bwalya Ngandu.However, the Bankers Association of Zambia has warned that the decision to abolish bank charges will only cripple the financial services industry and may result in job losses for some workers in the sector. Association Chief...

Allegiant Airlines charges a mean base fare of $89. In addition,the airline charges for making...

Allegiant Airlines charges a mean base fare of $89. In addition, the airline charges for making a reservation on its website, checking bags, and inflight beverages. These additional charges average $36 per passenger. Suppose a random sample of 70 passengers is taken to determine the total cost of their flight on Allegiant Airlines. The population standard deviation of total flight cost is known to be $39. Use z-table. a. What is the population mean cost per flight? $ b. What...

Allegiant Airlines charges a mean base fare of $88. In addition, the airline charges for making...

Allegiant Airlines charges a mean base fare of $88. In addition, the airline charges for making a reservation on its website, checking bags, and inflight beverages. These additional charges average $34 per passenger. Suppose a random sample of 70 passengers is taken to determine the total cost of their flight on Allegiant Airlines. The population standard deviation of total flight cost is known to be $39. Use z-table. a. What is the population mean cost per flight? b. What is...

Question