Originally Posted by

**jesseschnup** Im not sure what distribution method to use here.

Over all though im not sure what to do here..

A certain experiment is to be performed until a successful result is

obtained. The trials are independent and the cost of performing each

trial is \$25,000; however, if a failure results, it costs \$5000 to

"set up" for the next trial. It is believed that the probability of

success on a single trial is 0.25.

Using appropriate probability model(s), ...

a) What is the expected cost of the experiment?

b) Suppose that the experimenter has a maximum of \$200,000 available.

Find the probability the experimenter does not have enough $

to run the experiment to completion.

c) In order for the probability of part b) to be reduced to 0.01

the success probability of each trial would need to be

increased to what value?