MP-3 players are wonderful devices for people who want to have access to their favorite music and videos in a portable format. They can store massive numbers of songs and videos. Although owners have the potential to store lots of data, suppose the actual disk storage being used is normally distributed with a mean equal to 1.95 GB and a standard deviation of 0.48 GB.

Consider a new company that is thinking of entering the market with a low-cost device that has only 1.0 GB of storage. The marketing slogan will be “Why Pay for Storage Capacity That You Don’t Need?”

Based on the usage data provided above, what percentage of owners, given their current usage, would have enough capacity with the new 1-GB player?
6-26. An article by Erin El Issa titled “2015 American household credit card debt study” (www.nerdwallet.
com) indicated that for households that had credit card debt, the average debt in 2015 was $15,355. Assume that credit card debt per household has a normal distribution with a standard deviation of $3,000.

a. Determine the percentage of households that have a credit card debt of more than $15,000.

b. One household has a credit card debt that is at the 95th percentile. Determine its credit card debt.