Historically, the probability that a passenger will miss a flight is 0.0995. Source: Passenger-Based Predictive Modeling of Airline No-show Rates by Richard D. Lawrence, Se June Hong, and Jacques Cherrier. Airlines do not like flights with empty seats, but it is also not desirable to have overbooked flights because passengers must be "bumped" from the flight. The Lockheed L49 Constellation has a seating capacity of 54 passengers.
(a) If 56 tickets are sold, what is the probability 55 or 56 passengers show up for the flight resulting in an overbooked flight?
(b) Suppose 60 tickets are sold, what is the probability a passenger will have to be "bumped"?
(c) For a plane with seating capacity of 250 passengers, how many tickets may be sold to keep the probability of a passenger being "bumped" below 1%?