Hubble Construction Company has submitted a bid on a state government project that is to be funded by the federal government’s stimulus money in Arizona. The price of the bid was predetermined in the bid specifications. The contract is to be awarded on the basis of a blind drawing from those who have bid. Five other companies have also submitted bids.
a. What is the probability of the Hubble Construction Company winning the bid?
b. Suppose that there are two contracts to be awarded by a blind draw. What is the probability of Hubble winning both contracts? Assume sampling with replacement.
c. Referring to part b, what is the probability of Hubble not winning either contract?
d. Referring to part b, what is the probability of Hubble winning exactly one contract?