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Suppose the Internal Revenue Service is studying the category of charitable cont

ID: 3310036 • Letter: S

Question

Suppose the Internal Revenue Service is studying the category of charitable contributions. A sample of 26 returns is selected from young couples between the ages of 20 and 35 who had an adjusted gross income of more than $100,000. Of these 26 returns 6 had charitable contributions of more than $1,000. Suppose 5 of these returns are selected for a comprehensive audit. (a)You should use the hypergeometric distribution because ou are sampling a small ulation without replacement. (b)What is the probability exactly one of the five audited had a charitable deduction of more than $1,000? (Round your answer to 4 decimal places.) Probability (c)What is the probability at least one of the audited returns had a charitable contribution of more than $1,000? (Round your answer to 4 decimal places.) Probabilit

Explanation / Answer

n=5 ,p(had)=6/26,p(not had)=20/26

p(x=1)=5c1(6/26)(20/26)^4

p(x=1)=0.4039

c)p(at least one )=1-p(none)

1-(20/26)^5 =0.7307

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