Question

 

If a cell phone company conducted a telemarketing campaign to generate new clients, and the probability of successfully gaining a new customer was 0.05, what are the probabilities that contacting 25 potential new customers would result in at least 5 new customers?

Answer 1

Solution:

Given:

p = probability of successfully gaining a new customer = 0.05

n = sample size = 25

We have to find:

P( Getting at least 5 new customers) = .........?

That is:

Here X = Number of gaining a new customer follows a Binomial distribution with parameters n = 25 and p = 0.05

Thus we get:

=BINOM.DIST.RANGE( n , p , lower x , upper x)

here n = 25 , p = 0.05

lower x is 5 and upper x is 25 ( Since 25 is largest value)

Thus we get:

=BINOM.DIST.RANGE( 25 , 0.05 , 5 , 25)

=0.0071649

Thus