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A machine producing electronic circuits has a failure rate of 15%. The cost of making a...

A machine producing electronic circuits has a failure rate of 15%. The cost of making a batch of 500 circuits is $8400 and the good ones sell for $20 each (bad ones have no value and are discarded). Assuming that the events of failures are independent, what is the probability of the firm making a loss on any one batch?

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DATE:28-04-2020

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