A commonly used practice of airline companies is to sell more tickets than actua

Question

A commonly used practice of airline companies is to sell more tickets than actual seats to a particular flight because customers who buy tickets do not always show up for the flight Suppose that an airline sells 200 tickets for a certain flight, which has only 190 seats. If on the average 4% of purchasers of airline tickets do not appear for the departure of their flight, find the a. probability that everyone who shows up for this flight will have a seat. b. expected number of passengers with no seat available for this flight. Assume that passengers miss their flight independently of other passengers on the same flight (which is not true in general when families are involved).

Explanation / Answer

a)Probability that everyone will have a seat = No. of seats/ Total no. of passengers booked = 190/200=0.95

b) Expected no. of passengers with no seat available = 4% of total passengers=4/100*200=8

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