Hey guys, this is a probability problem that you probably wont find on the GMAT. It is out of my book for my probability class that I'm in right now. Either way, it's a quality problem and pertains to probability/combinatorics and is useful practice.

Q: A state auto-inspection station has two teams. Team 1 is lenient and passes all automobiles of a recent vintage; team 2 rejects all autos on first inspection because their "headlights are not properly adjusted." Four unsuspecting drivers take their autos to the station for inspection on four different days and randomly select one of the two teams.

A) If all four cars are new and in excellent condition, what is the probability that three of the four will be rejected?

B) What is the probability that all four will pass?

A) 4(1/2)^4 = .25

B) (1/2)^4 = .0625

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