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Johnny Ray has 1000 egg-laying chickens at Eggstravagant Poultry Company. Historically, each chicken lays an average of 260 eggs per year or 5 per week, per chicken. That comes to an average of 5000 eggs per week or 260,000 total eggs laid per year, which can be considered a steady stream of egg production. Historically, 15% of the eggs are damaged before Johnny Ray can gather them.

a) If 20 eggs are sampled, how many would you expect to be damaged?

b) What is the probability that a sample of 20 eggs produced will have 3 or more damaged?

Operation Management, Management Studies

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