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. we suppose 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 120 passengers? with what
standard deviation? note any assumptions you make and if you think they are justified.

The average revenue per passenger = E(x) = $15.70

b)$1,884 ± $20

Step-by-step explanation:

a)

Refer  attached fig for probability model,

i)The average revenue per passenger = E(x) = $15.70

Standard Deviation =

ii)  average revenue per passenger = E(x) = $15.70

b) Revenue should the airline expect for a flight of 120 passengers

revenue = 120 * $15.70 = $1,884 ± $20 (or 19.95 rounded up)

use same σ

the slope of the line is 60

one point on the line is (40,10)

step-by-step explanation:

in the equation outside the parenthesis the equation always tells you the slope. in this case it is 60.

in the parenthesis is also says 40 which is x because it is near the x and 10 is y because it is near y.