3. The online publication Cyber-Stats reports Intemet access and usage. The foll

Question

3. The online publication Cyber-Stats reports Intemet access and usage. The following is a, percentage distribution of household income for households with home Internet access only. -1 Household Income Percentage Event Under $50,000 $50,000 - under $75,000 $75,000-under $150,000 $150,000 or above 27.2 27.3 37.2 8.3 Suppose that a household with home Intemet access only is selected at random. Apply the special addition rule to find the probability that the household obtained has an income a. b. c. d. e. under $75,000. $50,000 or above. between$50,000 and (under) $150,000 Interpret each of your answers in parts (a) - (c) in terms of percentages Use the complement rule to answer part (b) in this exercise.

Explanation / Answer

a) P(under $75000) = P(A) + P(B) = 0.272 + 0.273 = 0.545

b) P($50000 or above) = P(B) + P(C) + P(D) = 0.273 + 0.372 + 0.083 = 0.728

c) P(between $50000 and $150000) = P(B) + P(C) = 0.273 + 0.372 = 0.645

d) P(under $75000) = 54.5%

P($50000 or above) = 72.8%

P(between $50000 and $150000) = 64.5%

e) P($50000 or above) = 1 - P(under $50000) = 1 - 0.272 = 0.728

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