Question: Johnson Electronics makes calculators. Consumer satisfaction is one of the top priorities of the company's management. The company guarantees a refund or a replacement for any calculator that malfunctions within 2 years from the date of purchase. It is known from past data that despite all efforts, 5% of the calculators manufactured by the company malfunction within a 2-year period. The company mailed a package of 10 randomly selected calculators to a store.
a. Let x denote the number of calculators in this package of 10 that will be returned for refund or replacement within a 2-year period. Using the binomial probabilities table, obtain the probability distribution of x and draw a graph of the probability distribution. Determine the mean and standard deviation of x.
b. Using the probability distribution of part a, find the probability that exactly 2 of the 10 calculators will be returned for refund or replacement within a 2-year period.