EXPLANATION
We can find the solution to Part A and B using the binomial distribution formula below.
[tex](nCx)p^xq^{n-x}[/tex]n= number of random bikes selected=5
x= desired number
p= probability of success= 0.95
q= probability of failure =1-0.95 =0.05
Part A
For exactly 4 out of 5 passing the inspection, we will have;
[tex]\begin{gathered} Pr(x=4)=5C4(0.95)^4(0.05)^1 \\ =\frac{5!}{4!1!}(0.95)^4(0.05) \\ =5(0.95)^4(0.05)=0.2036 \end{gathered}[/tex]Answer: 0.2036
Part B
For the probability that less than 3 of these 5 sports bikes pass final inspection
[tex]Pr(x<3)=Pr(0)+Pr(1)+Pr(2)[/tex]Therefore, we will have
[tex]\begin{gathered} Pr(0)=\frac{5!}{5!0!}(0.95)^0(0.05)^5=0.05^5 \\ Pr(1)=\frac{5!}{1!4!}(0.95)^1(0.05)^4=5(0.95)(0.05)^4 \\ Pr(2)=\frac{5!}{2!3!}(0.95)^2(0.05)^3=10(0.95)^2(0.05)^3 \\ Pr(x<3)=0.05^5+5(0.95)(0.05)^4+10(0.95)^2(0.05)^3 \\ =0.001158 \end{gathered}[/tex]Answer: 0.001158