Exercise 19 dealt with a study indicating that the commercial success rate for wells drilled with 3-D seismic data is 70%. You randomly select 30 drilling sites that are using this kind of data. Compute the
In Exercise 19
A technique called 3-D seismic attribute analysis has been used over the past decade to improve the exploration and development of new oil wells in the US. A three-year study done in Kansas reported that the commercial success rate for wells drilled with 3-D seismic data was 70%, compared to a success rate of 30%–35% for “wildcat” wells. You are monitoring six new drilling sites that are using 3-D seismic data. Use the binomial function to compute the probability that these sites will produce
a. Expected number of wells in this group that will be commercially successful.
b. Variance of the random variable “number of wells in this group that will be commercially successful”
c. Standard deviation of the random variable “number of wells in this group that will be commercially successful.”