The Federal Deposit Insurance Corporation (FDIC)

insures deposits in banks and thrift institutions for up to $250,000. Before the banking crisis of late 2008, there were 8,885 FDIC–insured institutions, with deposits of $6,826,804,000,000. Bank of America had deposits of $681,570,000,000 in nearly 6,000 banking centers during 2004.

a. Calculate the average deposits per bank for both FDIC–insured institutions and Bank of America.

b. Describe the relationship between the two averages calculated in part

a. Provide a reason for the disparity.

c. Would the two averages be considered to be parameters or statistics? Explain.