Suppose an average of 5 cars arrive at the parking lot every 15 minutes. What is the probability that exactly 4 cars will arrive in the next 15 minutes?
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we define p ( x=4 ) as the probability of exactly four cars arriving
Assuming that the random variable x has a poison distribution with mean = 5 and x = 4, we have
p ( x=4 ) = ( ( e-5) * ( 54) ) / ( 4*3*2*1) which yields 0.175467370 which is the required probability.