In 2007 approximately 4.7% of the households in the Detroit metropolitan area were in some stage of foreclosure, the highest foreclosure rate in the nation (The Associated Press, February 13, 2008). Suppose we sample 100 mortgage-holding households in the Detroit area.

a. W hat is the probability that exactly 5 of these households are in some stage of foreclosure?

b. W hat is the probability that no more than 5 of these households are in some stage of foreclosure?

c. W hat is the probability that more than 5 households are in some stage of foreclosure? L05