Question

An oil company conducts a geological study that indicates that an exploratory oil well should have a 20% chance of striking oil.
A. What is the probability that the first strike comes on the third well drilled?
B. What is the probability that the third strike comes on the seventh well drilled?C. What is the mean and the variance of the number of bad wells, if the oil company wants toset up three producing wells?

Answer 1

Answer:

a)  0.128

b)  0.049152

Step-by-step explanation:

a) first strike comes on the third well drilled

=> two non-strikes and a strike

P = (0.8)^2 * (0.2)

= 0.128

b) third strike comes on the seventh well drilled

=> two strikes in first six wells and a strike in seventh

P = 6C2 * (0.2)^2 (0.8)^4 * (0.2)

= 0.049152