Customers arrive at a certain shop according to a poisson process at the rate of $20$ customers per hour. what is the probability that the shop keeper will have to wait more than $5$ minutes (after opening) for the arrival of the first customers?
So i am trying to this problem by exponential, however im having some trouble with figuring out the pdf.
I was told $F(x)=20e^{-20x}$ if $x>0$, however the pdf on my paper says: $\frac{1}{\theta}e^{-\frac{x}{\theta}}$ so shouldnt it be: $\frac{1}{20}e^{-\frac{x}{20}}$.
I am just confused. Any explanations?
In a Poisson process with rate $\lambda$ per unit of time, the interarrival times between events is exponentially distributed with mean $1/\lambda$. Therefore, the time to the first arrival $T_1$ is exponential with probability density $$f_{T_1} (t) = \lambda e^{-\lambda t}, \quad t > 0.$$ The cumulative distribution function is $$\Pr[T_1 \le t] = 1 - e^{-\lambda t}, \quad t > 0.$$ What you desire is $$\Pr[T_1 > 1/12],$$ because five minutes is equivalent to one twelfth of an hour.